The High Court has declined to halt the implementation of the proposed Sh5 trillion National Infrastructure Fund but has placed the fund under strict judicial oversight by directing the National Treasury to regularly account for all money deposited and spent pending the hearing of a constitutional challenge.
In a ruling delivered on Thursday, Justice Patricia Mande ordered the National Treasury to file certified accounts and transaction reports before the court every three months, with the first report due by November 30, 2026. The judge further directed the respondents to disclose the dates on which funds were deposited into accounts held at the Central Bank of Kenya or any commercial bank operating under Section 40 of the Public Finance Management Act.
The Treasury was also ordered to provide a detailed record of all transactions, expenditures and allocations made from the fund during the pendency of the case. Justice Mande said the reporting requirement is aimed at promoting transparency and enabling the court to monitor the management of public funds while the constitutional issues raised in the petitions are being determined.
The case was filed by Kemunto Ateka, Frego Engineering Company Limited and other petitioners, who are challenging the legality of the National Infrastructure Fund proposed by President William Ruto.
The petitioners argue that the proposed fund creates a mechanism that could allow public money to be spent outside the constitutional framework governing public finance, raising concerns over accountability, transparency and parliamentary oversight.
The petition will now proceed to hearing as the court continues to monitor the operation of the fund through the periodic financial reports.
