Finance Cabinet Secretary Henry Rotich has called on the National Assembly to change procurement laws so both the national government and county governments pay suppliers within 60 days.
He said the current system has left contractors and suppliers exposed to losses because of delayed payments, and argued that the law should force faster settlement of verified dues.
“Once the law on procurement is enacted, it will be mandatory to the national government and the devolved units to pay suppliers in a period not exceeding 60 days,” said the CS.
Rotich made the remarks in Narok during the Narok Investment Stakeholders Forum, where he also urged first-time governors to clear pending bills inherited from their predecessors, provided the claims were processed properly.
“I know some second term Governors have no problem in terms of pending bills but for the first-time governors, they have no excuse but to pay the pending bills. Government is an entity that exists forever regardless of change of guard,” he said.
He linked the issue to the wider burden of public debt, saying the Jubilee administration had also been paying bills inherited from earlier governments dating back to independence in 1963.
Rotich also dismissed complaints from governors over delayed disbursement of money to counties, saying the Treasury had already released all funds due as at June this year.
“I want to guarantee that I have disbursed the cash to the counties 100 percent as at June this year. Anyone trying to use that as an excuse is completely unfair,” he said.
He added that one of the main goals of devolution is to promote social and economic development and improve access to services across Kenya.
