National government begins audit of bill arrears

1049

KBC_Facebook-728x90

All pending arrears at the county and national level will be vetted in an authentication exercise spearheaded by the National Treasury and the County governments.

National Treasury Cabinet Secretary Henry Rotich says all authenticated debts will be settled within 30 days. It is estimated that the two level governments owe suppliers close to 500 billion shillings in pending bills.

Suppliers and commercial banks have for a long time decried delays by county and national governments to settle their arrears running into billions of shillings.

Also Read  COMESA marks 24 years since its transformation

The delays have been occasioned by lack of funds and proper documentation as well as the ambiguity of the 2017 elections that ushered in new county managers.

Get breaking news on your Mobile as-it-happens. SMS ‘NEWS’ to 22163

In March this year, the council of governors halted the payment of bills by counties pending the outcome of an audit.

Also Read  Kenya targets higher foreign direct investments

Rotich says an audit of all bill arrears that are less than one year old in an exercise that will take 60 days. Rotich says once the claims have been verified, they shall be settled within 30 days.

It is estimated that the two governments owe suppliers and contractors more than Ksh 500 billion dating back to more than 5 years.

Rotich has told the media that treasury is engaging the National Assembly and the Federation of Kenya Employers on the deduction of employees’ contributions towards the Kenya Mortgage Fund.

Also Read  Kenya to host international aviation negotiation conference

He spoke during the signing of a Ksh 60 billion funding agreement with the French Development Agency.

The funds will go towards the implementation of projects in the energy, water and transport sectors as well as in support of the Kenyan government’s public finance management.

kbc_Twitter-728x90-new

Tell Us What You Think


SHARE