Migori County adopts digital revenue collection to hit Sh1billion target

Governor Ochillo Ayacko's administration has automated its revenue collection systems in a bid to increase locally generated revenue. The initiative is also part of efforts to seal loopholes that have led to revenue losses in the past.

Governor Ayacko’s administration, which aims to collect Sh1 billion in the 2024/2025 financial year, has introduced the use of a USSD code, mobile phones, and Bluetooth printers for revenue collection.

Director for Revenue Maurice Oindo said the USSD code 483440# will facilitate cashless transactions across various revenue streams, including parking, cess, border entry, market dues, and bus park fees.

He explained that anyone wishing to make a payment without assistance from county officers can simply use their phone for a cashless transaction.

Previously, the administration relied on both automated and manual revenue collection systems, which were prone to theft and inefficiencies, resulting in revenue losses.

Revenue collection had already been automated in areas such as health services, single business permits, market dues, and cess on building materials and agricultural products.

However, as part of the enhanced automation, Governor Ayacko’s administration has now adopted mobile phones for revenue collection, moving away from the point-of-sale (POS) machines, which had been in use for decades but posed operational challenges.

Oindo noted that while POS machines had served their purpose, the county had encountered difficulties, prompting the shift to mobile phones.

Alongside mobile phones, the administration will also deploy Bluetooth printers for issuing receipts. Mobile phones will be used to collect market dues, cess, and bus park entry fees.

According to Oindo, the new system aims to enhance efficiency, curb corruption, and improve revenue collection. He emphasised that a significant amount of money had been lost due to pilferage and that reducing cash handling would ensure most payments are made online, minimising direct contact between collectors and cash.

Despite these improvements, bus parks, cattle auctions, and the boda boda sector still rely on manual revenue collection, which Oindo identified as key areas where significant amounts of money are lost to corruption.

David Ligawa, a system administrator at Migori County Revenue Authority, stressed the importance of eliminating cash handling by collectors. He noted that county funds had been misused in the past, with cases of theft and robberies, and expressed confidence that the new system would help improve revenue collection by ensuring payments go directly into county accounts.

Governor Ayacko’s administration has historically struggled to meet its revenue targets. In the 2020/2021 financial year, the county collected Sh200 million, while in 2021/2022, the figure rose to Sh300 million.

In 2022/2023, revenue collection increased to Sh400 million, though it still fell short of the Sh600 million target. In 2023/2024, the county collected Sh500 million against a target of Sh620 million.

The administration is optimistic that with the introduction of technology, it will finally achieve its Sh1 billion revenue target in the 2024/2025 financial year.