Nairobi, July 21 -- Nairobi County has been locked out of the latest round of disbursements of World Bank-funded Sh5.7 billion conditional grants to all the devolved units, after it fell short of meeting reform targets tied to the financing.

Documents from the State Department of Devolution, seen by the Business Daily, revealed that the Nairobi County administration failed to meet a series of reform targets on settling pending bills, improving Own-Source Revenue (OSR) collection, and auditing its payroll system.

The Sh5.7 billion in grant disbursements to counties fall under the Second Kenya Devolution Support Programme (KSDP II) - a performance-based reform initiative implemented by the Government of Kenya with support from the World B...