Gatundu South Member of Parliament Moses Kuria now wants the Sh210 billion the government received on Wednesday from the sale of the country's third Eurobond to be used to pay local debts.
In a message to National Treasury Cabinet Secretary Henry Rotich, Kuria noted even though part of the money will be used to repay previous debts, the remainder should go to suppliers and contractors, who both the national and county governments owe over Sh300 billion.
"I note that out of the Sh210 billion that you have borrowed through the Eurobond, Sh75 billion will go towards paying previous debts which have matured. How I wish that you will exclusively spend the balance of Sh135 billion to pay your local suppliers whom you (with governors) owe over Sh300 billion," the MP said in a Facebook post on Friday.
Kuria said by paying the suppliers, some of whom have been forced to close their businesses due to the arrears, the government will be reviving the struggling economy since investors will have funds to improve their businesses.
"Though the Sh135 billion would only cover 45 per cent of local pending bills, it would none-the-less provide temporary relief for our suppliers and contractors and also inject liquidity into our yawning and malnourished economy," he said.
However, according to Rotich's plan, the Sh250 billion will be used to repay previous bonds, finance the budget and initiate some infrastructure projects.