Fiscal decentralization is at the heart of successful devolution — enabling county governments to plan, budget, and spend resources effectively in response to local priorities. At Profiscal Systems Consultants (PFSC), we offer deep expertise in designing and strengthening fiscal decentralization frameworks that empower local governments, promote equity, and ensure fiscal responsibility.

Our advisory services are grounded in practical experience, policy understanding, and a firm commitment to inclusive, accountable governance.

Our Focus Areas Include:

✅ Design and Implementation of Intergovernmental Fiscal Transfers

We support the development and review of equitable revenue-sharing mechanisms between the national and county governments, including conditional grants, equalization funds, and own-source revenue incentives. Our work promotes transparency, objectivity, and legal compliance.

✅ Revenue Assignment and Expenditure Responsibilities

PFSC provides clarity on the division of revenue-generating powers and expenditure responsibilities between different levels of government. This helps reduce duplication, improve service delivery, and align funding with mandates.

✅ Design of Fiscal Rules and Frameworks

We assist in establishing clear fiscal rules and legal frameworks that guide borrowing, debt management, budget ceilings, and fiscal responsibility. Our support ensures that decentralization happens within a controlled, sustainable fiscal environment.

✅ Fiscal Data Systems and Transparency Tools

PFSC helps governments develop systems for collecting, analyzing, and publishing fiscal data, including budget allocations, transfers, expenditures, and audit findings. These tools enhance public trust and foster data-driven decision-making.

✅ Capacity Building in Fiscal Management

We deliver training programs for national and county officials on topics such as fiscal policy analysis, intergovernmental financing, fiscal risk management, and expenditure tracking. Our training supports both policy formulation and technical execution.

✅ Performance-Based Financing and Incentive Models

We help design and implement financing models that reward counties for achieving service delivery outcomes or demonstrating financial prudence. These mechanisms encourage innovation and accountability at the sub-national level.

Who We Serve

• National Treasury and Intergovernmental Fiscal Units
• County Governments and Budget Committees
• Commissions on Revenue Allocation (CRA)
• Donor Programs Supporting Devolution
• Civil Society and Budget Transparency Coalitions

Why PFSC?

• Extensive understanding of Kenya’s fiscal decentralization framework
• Strong technical capacity in intergovernmental finance and law
• Proven success in developing practical fiscal tools and systems
• Commitment to fairness, equity, and evidence-driven policymaking

At PFSC, we believe that fiscal decentralization is not just about resource transfer — it’s about transforming how governments serve their people. Let us help you build fair, effective, and sustainable fiscal systems that bring development closer to communities.