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Court of Appeal overturns High Court ruling, saves NGCDF law — only one clause struck out

The Court of Appeal has overturned the High Court decision that had declared the National Government Constituencies Development Fund (NGCDF) Act unconstitutional and ordered the shutdown of the fund.

In a judgment delivered on 6 February 2026, the appellate court set aside the September 20, 2024 High Court ruling and held that the NGCDF Act, 2015 remains largely constitutional.

The judges ruled that the High Court was wrong to invalidate the entire law and faulted the sweeping order that would have collapsed the Fund and its programmes.

The Court of Appeal found that, contrary to the High Court’s findings, the NGCDF framework does not violate the structure of devolution and does not offend the division of functions between the national and county governments. 

The court further held that the NGCDF Act does not breach the constitutional principles of public finance and that Parliament did not require the involvement of the Senate when enacting the law.

In a major relief to Parliament and the NGCDF Board, the judges also ruled that the High Court’s remedy of striking down the entire statute was disproportionate and inconsistent with the principle of severability. 

However, the Court of Appeal partially faulted the law on separation of powers.

It declared unconstitutional only one narrow part of the Act — section 43(9) — to the extent that it ties the term of the Fund Account Manager to the term of Parliament and to election transitions.

That portion of the provision has now been severed from the statute. 

The judges were clear that apart from that limited defect, the NGCDF Act, 2015 does not violate the doctrine of separation of powers.

The appellate court also upheld the High Court’s finding that the constitutional petition challenging the law had not been rendered moot by the 2022 and 2023 amendments.

But it firmly rejected the High Court’s conclusions that the Fund undermines devolution, duplicates county functions, or breaches public finance safeguards.

As a result of the ruling, the High Court declaration that had invalidated the entire NGCDF Act — together with the order that the Fund and its projects cease operations by 30 June 2026 — has now been overturned.

The NGCDF law therefore remains in force, save for the severed portion of section 43(9).

The court directed that, since the matter was of public interest, each party shall bear its own costs.

CH Reporter

CH Reporter

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