Nairobi Governor Evans Kidero. Photo: capitalfm.co.ke
Nairobi City’s debt has risen to Sh48 billion.
In 2013, the Country’s capital had a debt of Sh32 billion. This is according to a fiscal strategy and debt management paper.
Nairobi County Assembly budget committee chairman Michael Ogada said the public debt growth can be attributed to accrual of interest and penalties.
Ogada said the public debt had reached an unsustainable level, requiring urgent intervention.
He also wants the national government to provide details of guaranteed loans which were repaid and those still not paid.
“Measures on how to settle financial commitment with commercial banks, pay creditors and prudently implement collective bargaining agreement without injuring the county financial longevity need to be explored in line with strategies contained in the debt management strategy paper 2017,” states the report by the county’s budget committee.
The amount of money owed to the Nairobi county government by the national government has also risen from Sh63.5 billion to Sh208.9 billion.
The budget committee is now demanding that the county executive implements fully a report by the taskforce formed by Governor Evans Kidero.