This archive report was first published on 6 August 2019.
Published on August 6, 2019, the Kenya business community has renewed calls for county governments to clear pending bills owed to suppliers estimated to be over Sh100 billion.
The Kenya National Chamber of Commerce and Industry (KNCCI) President Richard Ngatia said the issue, if unresolved soon, poses a great risk to the survival of many businesses that now have to contend with serious cash flow problems.
“We have been in continued consultations with both the national and county governments through the Council of Governors over the huge debt owed to contractors, who are also our members, and I’m sure this will be amicably resolved soon,” said Mr Ngatia.
Mr Ngatia also urged the national government to regulate the influx of rice imports to protect local farmers.
“Towards the promotion of agriculture, there is need to tackle the growing problem of rice imports from Pakistan, which has become a threat to our main cash crop, rice,” said Ngatia.
“Ours is not to advocate for a total ban on rice imports. It is to have a level of regulation so that there’s room also for local quality Pishori rice to compete favourably.”
Despite the Government paying out pending bills to the tune of about Sh10 billion in June, businesses continue to struggle.
A report by Genghis Capital puts pending bills at Sh400 billion, which have been accumulated by counties and the central government over the last few years.
