Kiambu county is set to boost revenue collection and curb revenue loss with the new Kiambu county card unveiled by the KCB group.
The card which is part of the Kiambu County Digitika Programme is hinged on the digital payments systems and will enable receipting, payment through any of the KCB channels as well as auto reconciliation of transactions. The system comes with enhanced features that will enable county staff to securely track the process through the use of the modernized debit cards.
Speaking during the launch at the Kiambu County offices, KCB Chief Business Officer & MD Kenya Mr. Samuel Makome said the initiative is part of the Bank’s investment in digital payments as Kenya increasingly moves into a cashlite economy. “This solution is aligned to the national agenda of automating all public revenue collections in the country. It allows the counties to plan well within the budget. At a glance, they can account for revenues collected on a daily, weekly, monthly and annual basis to allow for better allocation of resources and support intelligence expenditures,” said Mr Makome.
“Public revenue collection is an integral component of fiscal policy and administration in any economy because of its influence on county government operations. It is the fuel of every government as it is the main instrument through which government funding is ensured. The way the taxes are collected and how they are used determines the pace at which development of a given county is realized”, Mr Makome said.
Kiambu becomes the first of 15 countries to get the solution with the rest expected to get 3 million cards in twelve months time. KCB will also roll out issue 6,000 Point of Sale Terminals (POS) to facilitate transaction on a Near Field Communication (NFC) platform for payment of parking fees, utility bills, licenses, land rates among others.
The solution launched in Kiambu will see the Bank launch similar initiatives in the rest of the county governments in the coming days as the Bank expands its foray in the cashlite economy which is billed as the next frontier for growth in the financial services sector.
The Kiambu County Governor William Kabogo reiterated the need for an automated revenue collection system that allows for efficiency and accountability in order to track the activities of the various county units and the roles they play.
“Taxes play an important role in the development of a county. Since devolution came into being, county governments have been grappling with the challenge of how to effectively collect their taxes and monitor how the same is utilized. With the coming of this solution from KCB, we are headed for a new era in the payments space and believe that this initiative will unlock the potential in the service delivery agenda that is critical for all county governments,” Mr Kabogo said.