Treasury Cabinet Secretary Henry Rotich on Wednesday 7 March told Senate Finance committee that the government is broke.
The CS has petitioned to the Parliament to reduce the county allocations by about Sh18 billion in the next financial year.
"If you were to tell us to disburse 100 percent judiciary executive and parliament also want their full share and I can't get the revenues and you do not want me to touch borrowing, it's impossible. I mean something must give,” said CS Rotich.
He said the government will introduce an amendment to the Division of Revenue Act 2017, to reduce the money allocated to the counties.
CS Rotich said that shortfall in revenue collection was caused by long election period and drought in the country.