The Murang’a County Government has today filed contempt of court proceedings against the Controller of Budget, Dr. Margaret Nyakang’o, accusing her of defying a court order that directed her to authorize the release of bursary funds crucial for thousands of students as schools reopen tomorrow.
The legal action, filed at the Nakuru High Court under Petition No. 12 of 2024, stems from an ongoing dispute involving the Katiba Institute, the Controller of Budget, Nakuru County Government, Murang’a County Government, and other interested parties. While Murang’a County is leading the current contempt proceedings, officials emphasized that the matter affects all 47 counties across Kenya.
At the center of the dispute is a circular issued by Dr. Nyakang’o on January 14, 2025, instructing all counties to cease expenditure on scholarships and bursaries — a move Murang’a officials say was abrupt, unconstitutional, and catastrophic for millions of students who depend on county bursaries to stay in school.
“Schools reopen tomorrow, and millions of Kenyan children who depend on county scholarships are stranded because of one office refusing to approve funds,” said Murang’a County Secretary Dr. Newton Mwangi.
Counties, under the Public Finance Management Act, are required to seek requisition approval from the Controller of Budget before spending any public funds. Murang’a County officials lamented that despite having KSh 70 million available in their bank accounts earmarked for bursaries, they are unable to use the funds without the Controller’s authorization.
The official explained that Murang’a County’s request for KSh 70 million was intended to cover payments to local day schools (KSh 32 million), the Nyota Yetu full scholarship program for vulnerable bright students (KSh 20 million), and to honor previously issued bursary cheques which were declined at banks due to the Controller’s freeze.
The county maintains that education support through bursaries constitutes social welfare, a devolved function legally anchored by county assembly laws — laws that remain constitutional until ruled otherwise by the courts.
Following a previous court order issued in February 2025, which upheld the Controller’s circular but clarified that it would only take effect from the next financial year starting July 1, 2025, Murang’a County sought further clarification on April 8, 2025.
The court clarified that counties could continue processing bursaries for the current financial year. Despite this, Dr. Nyakang’o allegedly continued to decline requisitions, prompting the contempt proceedings filed today.
The county emphasized that their primary concern is not punitive action against Dr. Nyakang’o, but the urgent need to ensure that children return to school without disruptions.
The matter is now before the courts, with the hearing date expected to be set soon.
Separately, Murang’a County has formally written to the Ministry of Education requesting the immediate signing of the transfer of certain education functions to counties — a move they hope will prevent similar stalemates in future.
Meanwhile, as the national government continues to face delays in releasing funds to schools, the bursary freeze threatens to deepen the crisis across the education sector.