Public Finance Management (Wildlife Conservation Trust Fund) Regulations, Legal Notice no. 190 of 2025

Microsoft Word - L.N 190- 191 The Public Finance management (wildlife Conservation trust Fund) Regulations.doc SPECIAL ISSUE 2277 Kenya Gazette Supplement No. 203 26th November, 2025 (Legislative Supplement No. 100) CORRIGENDUM IN L. N. No. 138 of 2025— On page 1356— In rule 12 (b)— (a) delete the expression “Sub-rule (2)(a)” and substitute therefor the expression “Sub-rule (2)(b); (b) delete the word “inserting”; (c) delete the word “Court” appearing immediately after the words “the word” and substitute therefor the words “Registrar of the courts”; and (d) delete the words “of the court of Appeal” appearing immediately after the words “therefor the words” and substituting therefor the words “Registrar of the Court of Appeal”. LEGAL NOTICE NO. 190 THE PUBLIC FINANCE MANAGEMENT ACT (Cap. 412A) THE PUBLIC FINANCE MANAGEMENT (WILDLIFE CONSERVATION TRUST FUND) REGULATIONS, 2025 ARRANGEMENT OF REGULATIONS Regulation PART I—PRELIMINARY PROVISIONS 1—Citation. 2—Interpretation. 3—Purpose of the Fund. PART II—THE WILDLIFE CONSERVATION TRUST FUND 4—Initial capital. 5—Apportionment of funds. 6—Sources of funds. 7—Innovative funding arrangements with the private sector. 8—Mitigation of human wildlife conflict. Kenya Subsidiary Legislation, 2025 2278 PART III—MANAGEMENT OF THE FUND 9—Members of the Governing Board. 10—Functions of the Governing Board. 11—Chief executive officer of the Fund. 12—Tenure of the chief executive officer. 13—Administrator of the Fund. 14—Functions of the chief executive officer. 15—Secretariat of the Fund. 16—Disbursements to be made in accordance with funding agreements. PART IV—FINANCIAL PROVISIONS 17—Application of Government Regulations and procedures. 18—Financial year of the Fund. 19—Preparation and submission of a work plan. 20—Quarterly and annual reports. 21—Record of disbursements. 22—Administration costs of the Fund. 23—Expenditure of the Fund. 24—Investment of surplus funds. 25—Retention of receipts, earnings and accruals. 26—Annual reports. 27—Audited accounts. PART V—MISCELLANEOUS PROVISIONS 28—Conflicts of interest. 29—Conflict resolution mechanism. 30—Winding up of the Fund. 31—Effect of winding-up of the Fund. 32—Revocation. Kenya Subsidiary Legislation, 2025 2279 THE PUBLIC FINANCE MANAGEMENT ACT (Cap. 412A) IN EXERCISE of the powers conferred by Section 24(4) of the Public Finance Management Act, the Cabinet Secretary for the National Treasury makes the following Regulations— THE PUBLIC FINANCE MANAGEMENT (WILDLIFE CONSERVATION TRUST FUND) REGULATIONS, 2025 PART I—PRELIMINARY PROVISIONS 1. These Regulations may be cited as the Public Finance Management (Wildlife Conservation Trust Fund) Regulations, 2025. Citation. 2. In these Regulations, unless the context otherwise requires— Interpretation. “Administrator” means the person designated as the Administrator of the Fund under regulation 13; “beneficiary” means a legal entity that is a recipient of financial support from the Fund; “beneficiary in productive and service sectors” includes an individual, community, business, industry and government that uses or depends on environmental services offered by a park, reserve, conservancy or sanctuary; “environmental service” means any positive direct or indirect benefit that wildlife or environment provides to people; “Fund” means the Wildlife Conservation Trust Fund established under section 23(1) of the Wildlife Conservation and Management Act; Cap. 376. “Governing Board” means the Governing Board of the Wildlife Conservation Trust Fund established under section 23(2) of the Wildlife Conservation and Management Act; and “grantee” means a person or institution to whom a grant is made out of the Fund. 3. The purpose of the Fund shall be as specified in section 23(4) of the Wildlife Conservation and Management Act. Purpose of the Fund. Cap. 376. PART II—THE WILDLIFE CONSERVATION TRUST FUND 4. The initial capital for the Fund shall be two hundred million shillings provided out of the voted funds of the State Department for Wildlife in the 2020/2021 financial year. Initial capital. 5. (1) The funds paid into the Fund shall be apportioned for the following purposes— Apportionment of funds. (a) wildlife conservation initiatives for terrestrial and marine national parks, national reserves, wildlife conservancies and sanctuaries; (b) conservation of endangered and endemic species; (c) education awareness including advocacy for wildlife policies; Kenya Subsidiary Legislation, 2025 2280 (d) wildlife conservation and national wildlife research priorities; and (e) subject to sub-regulation (3), such other purposes as may be determined by the Governing Board. (2) The funds apportioned under sub-regulation (1) shall be disbursed in accordance with the terms and conditions of the agreement between the Fund and the entity receiving the funds. (3) Notwithstanding the provisions of sub-regulation (1), the Governing Board may, with the approval of the Cabinet Secretary, vary the apportionment of funds in sub-regulation (1) in favour of conservation and mitigation in any particular year. (4) In this regulation, “wildlife conservancy” means land set aside by an individual, body corporate, group of landowners or a community for the purposes of wildlife conservation in accordance with the Wildlife Conservation and Management Act. Cap. 376. 6. Pursuant to section 23(3) of the Wildlife Conservation and Management Act, the Fund shall consist of moneys paid into the Fund from— Sources of funds. Cap. 376. (a) moneys appropriated by Parliament; (b) one per cent of the monies paid for payment of environmental services by beneficiaries in productive and service sectors, and for biodiversity offset schemes that compensate for conservation impacts; (c) moneys for payment of environmental services and biodiversity offset schemes including one per cent of the proceeds from bio-prospecting which shall be paid into the Fund pursuant to section 22 (7) of the Wildlife Conservation and Management Act; (d) moneys from debt-for-nature transactions including— (i) debt-for-nature swaps; and (ii) green bonds; (e) income from investments made by the Governing Board; and (f) such grants, donations, bequests or other gifts as may be made to the Fund including from— (i) national, international and multi-lateral institutions; and (ii) philanthropic donations by individuals or private charities; and (iii) legacy giving and bequests. 7. (1) The Board may, with the approval of the Cabinet Secretary, enter into innovative funding arrangements with the private sector to support the purposes for which the Fund is established. Innovative funding arrangements with the private sector. Kenya Subsidiary Legislation, 2025 2281 (2) An arrangement under sub-regulation (1) may include— (a) blended financing; (b) impact investing; (c) participation in carbon credit markets; and (d) participation in biodiversity credit markets. 8. Pursuant to section 23(4)(f) of the Wildlife Conservation and management Act, the Governing Board may use moneys from the Fund for the purposes of mitigating human wildlife conflict. Mitigation of human wildlife conflict. Cap. 376. PART III—MANAGEMENT OF THE FUND 9. The Governing Board of the Fund shall consist of the persons specified in section 23(2) of the Wildlife Conservation and Management Act. Members of the Governing Board. Cap. 376. 10. The Governing Board shall— Functions of the Governing Board. (a) formulate the Fund’s strategic direction including strategic plans, investment plans and policies; (b) set up administrative, governance and financial management structures of the Fund; (c) consider and approve the procedures relating to eligibility criteria, processes, and access to the Fund for the purposes of awarding grants from the Fund pursuant to section 23(4)(f) of the Wildlife Conservation and Management Act; Cap. 376. (d) oversee the administration and management of the Fund; (e) supervise the performance of the chief executive officer of the Fund; (f) consider, review and approve the estimates of revenue and expenditure of the Fund for each financial year; (g) consider and approve the opening of a bank account or bank accounts for the purposes of the Fund and submit the proposal to open the bank account or bank accounts to the Cabinet Secretary for approval; (h) receive, review and approve statutory and management reports of the Fund before the reports are submitted to the Auditor-General, Cabinet Secretary, Commission for Revenue Allocation and Controller of Budget; (i) approve, monitor and evaluate the programmes and activities of the Fund; (j) set fundraising targets and mobilise resources for the Fund; (k) approve, with the concurrence of the Cabinet Secretary, the investment policy, investment plan and risk threshold of the Fund; Kenya Subsidiary Legislation, 2025 2282 (l) receive and review reports on the performance of the Fund and make recommendations thereon; (m) review the Fund’s policies on the management of the Fund’s assets, equipment and properties of the Fund; and (n) approve the criteria for funding requirements. 11. (1) There shall be a chief executive officer of the Fund who shall be competitively recruited and appointed by the Governing Board. Chief executive officer of the Fund. (2) A person shall be qualified to be appointed as the chief executive officer if that person— (a) is a Kenyan citizen; (b) possesses a Bachelor’s degree from a university recognised in Kenya; (c) possesses at least ten years’ relevant experience in financial management and resource mobilisation; and (d) satisfies the requirements of Chapter Six of the Constitution. (3) A person is not qualified to be appointed as the chief executive officer if that person— (a) is a member of any legislature in Kenya; (b) has been adjudged bankrupt by a court of competent jurisdiction; (c) is a member of the governing body of a political party; (d) has been convicted of an offence the penalty of which is imprisonment for a term of at least six months without the possibility of a fine; (e) has been found to have violated any provision of the Constitution; or (f) has been removed from any public office because of a conviction for an offence or violation of the Constitution. 12. The chief executive officer shall serve for a term of three years and shall, upon satisfactory performance, be eligible for reappointment for only one further term of three years. Tenure of the chief executive officer. 13. The chief executive officer shall be the Administrator of the Fund. Administrator of the Fund. 14. (1) The chief executive officer shall, subject to the direction of the Governing Board, be responsible for the day-to-day management of the Fund. Functions of the chief executive officer. (2) The chief executive officer shall— (a) be accountable to the Governing Board; (b) open and operate a bank account or bank accounts with the approval of the Governing Board and the National Treasury; Kenya Subsidiary Legislation, 2025 2283 (c) consult with the Governing Board on matters relating to the administration of the Fund; (d) cause to be kept proper books of account and records in relation to the Fund; (e) prepare, sign and submit to the Governing Board, in respect of each financial year and within three months after the end thereof, a statement of account relating to the Fund for consideration and approval; (f) prepare quarterly reports on financial and non-financial activities of the Fund in accordance with the provisions of the Act and as may be prescribed by the Public Sector Accounting Standards Board, and submit the reports to the Governing Board for approval and transmission to the Cabinet Secretary, the Auditor-General, Commission for Revenue Allocation and Controller of Budget; (g) be the custodian of the assets, equipment and property of the Fund; (h) engage the Fund’s stakeholders to secure funding commitments; (i) develop, with the approval of the Governing Board, the operational and strategic documents of the Fund including strategic plans, communication materials, grant-making frameworks and operation manuals; (j) facilitate the recruitment or secondment of the staff of the Fund; (k) supervise and monitor utilisation of funds by beneficiaries of the Fund; (l) communicate effectively and in a timely manner to the contributors and beneficiaries of the Fund; and (m) provide leadership for the programmes and operations of the Fund. 15. (1) There shall be a secretariat of the Fund to be known as the Wildlife Conservation Trust Fund Secretariat which shall provide secretariat and support services to the Fund. Secretariat of the Fund. (2) The Secretariat shall be headed by the chief executive officer of the Fund and shall consist of such staff as the Governing Board may consider necessary for the proper performance of the functions of the Fund under these Regulations. (3) The staff of the Fund shall be recruited and appointed by the Governing Board on such terms of service as may be determined by the Governing Board on the advice of the Salaries and Remuneration Commission. 16. (1) The chief executive officer shall develop and submit to the Governing Board for approval a mechanism for evaluating proposals for funding for the purposes of these Regulations. Disbursements to be made in accordance with funding agreements. Kenya Subsidiary Legislation, 2025 2284 (2) The chief executive officer shall represent the Fund in all funding agreements with beneficiaries and grantees who receive disbursements for the purposes of these Regulations from the Fund. (3) Each beneficiary or grantee to whom funds are disbursed under these Regulations, upon receipt of the funds, shall utilise those funds in accordance with the funding agreement. (4) Each beneficiary or grantee who enters into a funding agreement under this regulation shall return to the Fund any unutilised funds disbursed under these Regulations if— (a) the purpose for which the funds were disbursed was not undertaken; (b) the purpose for which the funds were disbursed was undertaken but the funds were not fully utilised; or (c) savings have been realised as a result of a change in circumstances. (5) Any funds returned under sub-regulation (4) shall be recorded by the Administrator as receipts of the Fund. (6) Any beneficiary or grantee who fails to comply with the provisions of this regulation— (a) shall not be eligible to receive funds from the Fund until that beneficiary or grantee has fully complied with the provisions of this regulation or any other provision of these Regulations; and (b) may be subject to such administrative sanctions or penalties as may be determined by the Governing Board. PART IV—FINANCIAL PROVISIONS 17. Subject to the provisions of the Act, all relevant existing Government regulations and procedures shall apply in the administration of the Fund’s financial resources. Application of Government Regulations and procedures. 18. The financial year of the Fund shall be the period of twelve months ending on the 30th June of every year. Financial year of the Fund. 19. The Administrator shall prepare a work plan in respect of each financial year and submit it to the Governing Board for approval. Preparation and submission of work plans. 20. (1) The Governing Board shall submit quarterly and annual reports to the Cabinet Secretary responsible for matters relating to wildlife conservation. Quarterly and annual reports. (2) The reports under sub-regulation (1) shall contain— (a) in the case of a quarterly report, a summary of the proposals approved, rejected, or deferred by the Governing Board in the preceding quarter as recommended by the Administrator and indicating the funding status of such proposals, if any; (b) in the case of an annual report, a summary of all the proposals that were received, approved, rejected and Kenya Subsidiary Legislation, 2025 2285 deferred, the reasons for thereof, and the funding status of any proposals that were approved, including any funds that have been paid back to the Fund; (c) a summary of the status of disbursements from the Fund for the implementation of any proposals financed out of the Fund; (d) any restrictions, administrative sanctions or penalties imposed on a non-compliant beneficiary or grantee; and (e) information on the financial and non-financial performance of the Fund. (3) The Governing Board shall, on an annual basis, prepare and submit monitoring and evaluation reports in respect of the Fund to the Cabinet Secretary responsible for wildlife conservation. 21. The Administrator shall keep and maintain an accurate record of disbursements from and payments into the Fund which shall be updated at least once every month. Record of disbursements. 22. (1) The administration costs of the Fund shall not exceed three per cent of the approved annual budget of the Fund. Administration costs of the Fund. (2) The Administrator shall submit a statement on the estimated administration costs of the Fund for each financial year to the Governing Board for approval together with the approved annual work plan and budget of the Fund. (3) The statement on the estimated administration costs of the Fund shall ensure that the funds in the Fund are maximised for conservation activities and management of the Fund. 23. (1) There shall be paid out of the Fund payments in respect of any expenses incurred in furtherance of the objects for which the Fund is established. Expenditure of the Fund. (2) The expenditure incurred on the Fund shall be on the basis of and limited to annual work plans and cost estimates which shall be prepared by the Administrator and approved by the Governing Board at the beginning of the financial year to which they relate. (3) Any revision of the approved annual work plans and of any cost estimate shall be referred to the Governing Board for approval subject to the provisions of the Act. 24. The Administrator may, with the approval of the Governing Board and the National Treasury, invest any funds of the Fund which are not immediately required for the Fund’s purposes. Investment of surplus funds. 25. All receipts, earnings and accruals to the Fund and the balance of the Fund at the close of each financial year shall be retained by the Fund for the purpose for which the Fund is established. Retention of receipts, earnings and accruals. 26. (1) The Administrator shall prepare annual financial and non-financial reports in accordance with the provisions of the Act. Annual reports. Kenya Subsidiary Legislation, 2025 2286 (2) In addition to the reports prepared under subregulation (1), the Administrator shall prepare an annual general performance report of the Fund that shall be submitted to the Governing Board together with the annual report under subregulation (1). 27. The accounts of the Fund shall be audited and reported on in accordance with the provisions of the Public Audit Act. Audited accounts. Cap. 412C. PART V—MISCELLANEOUS PROVISIONS 28. No member of the Governing Board shall hold any interest in any property of the Fund otherwise than in the member’s capacity as a member of the Governing Board nor receive remuneration nor be interested in the supply of work, goods or services to the Fund or any other non-pecuniary conflict of interest. Conflicts of interest. 29. (1) The Governing Board shall establish a conflict resolution mechanism to deal with any dispute by a beneficiary or grantee against any decision by the Governing Board regarding disbursements from the Fund or the imposition of any administrative sanctions or penalties by the Governing Board. Conflict resolution mechanism. (2) Any person dissatisfied by the decision of the Governing Board in respect of the outcome of the conflict resolution process contemplated under sub-regulation (1) may appeal against that decision to the High Court. 30. (1) In the case of the winding up of the Fund, the winding up shall be undertaken in accordance with regulation 209 of the Public Finance Management (National Governments) Regulations. Winding up of the Fund. Sub. Leg. (2) Where the Fund is wound up, the cash balances shall be transferred to the Exchequer and the other assets of the Fund shall be transferred to the national government. 31. (1) On winding up of the Fund— Effect of winding-up of the Fund. (a) the Administrator of the Fund shall compile any valid outstanding obligations and commitments for payment; (b) the Administrator of the Fund shall pay any amount remaining in the Fund into the National Exchequer Account for the credit of the national government; (c) the Cabinet Secretary shall pay any deficit in the Fund from the funds of the national government in the National Exchequer Account with the approval of the National Assembly; and (d) the assets, equipment and properties of the Fund, other than cash, shall be transferred to the Ministry for the time being responsible for matters relating to wildlife conservation. (2) Within three months after the decision to wind up the Fund, the Administrator of the Fund shall prepare final financial and non- financial statements of the Fund and submit them— Kenya Subsidiary Legislation, 2025 2287 (a) to the Cabinet Secretary responsible for matters relating to wildlife conservation; and (b) to the Auditor-General to be audited and reported on in accordance with the Public Audit Act. Cap. 412C. (3) Upon approval under sub-regulation (2) (a), the Administrator shall submit the final financial and non-financial statements to the Cabinet Secretary. 32. The Public Finance Management (Wildlife Conservation Trust Fund) Regulations, 2023, are revoked. Revocation. L.N. 220/2023. Made on the 11th November, 2025. JOHN MBADI NG’ONGO, Cabinet Secretary for the National Treasury. LEGAL NOTICE NO. 191 THE INCOME TAX ACT (Cap. 470) AMENDMENT OF LEGAL NOTICE NO. 15 OF 2021 IN EXERCISE of the powers conferred by section 13(2) of the Income Tax Act, the Cabinet Secretary for the National Treasury amends the Schedule to Legal Notice No. 15 of 2021 published on the 26th February, 2021, by adding the following item immediately after item 16— S/No. Agreement Date 17. The Project for Strengthening Research Capacity for Kenya Medical Research Institute 2024 Dated the 10th November, 2025. JOHN MBADI NG’ONGO, Cabinet Secretary for the National Treasury. PRINTED AND PUBLISHED BY THE GOVERNMENT PRINTER, NAIROBI