Budgeting Practices and Service Delivery of County Governments in Nairobi Metropolitan Area, Kenya

Abstract

Financial management in county governments plays a crucial role in promoting good governance. From the past studies, there are mixed findings in the literature on relationship between budgeting practices and service delivery in Nairobi Metropolitan Area, Kenya. Budget theory served as the foundational frameworks for this research. These theory guided the formulation of conceptual framework, informed the study design and methodology, and aided in the interpretation of findings. A cross sectional correlation research design grounded in the philosophy of positivism was employed in this study. Primary data was collected using structured questionnaire. The study’s target population was 163 directors from Counties in Nairobi Metropolitan Area, Kenya. Purposive sampling approach was employed to get a sample of 116 respondents. The validity of the research instrument was tested using construct, content and face validity while the reliability was assessed using Cronbach’s Alpha coefficient. A pilot study was done in Muranga County. The data was analyzed using descriptive and inferential statistics. The study found that budgeting practices had a significant positive relationship with service delivery, as evidenced by a correlation coefficient (r) of 0.587, a beta coefficient (β) of 0.593 (p<0.05). The study concludes that effective budgeting practices are crucial for enhancing service delivery in the County Governments of the Nairobi Metropolitan Area. This study therefore recommends that, to ensure service delivery, public institutions should focus on effective budgeting practices. This study makes important contribution to knowledge as it provides evidence on the role of budgeting practices and service delivery.