Treasury to disburse county cash after Gachagua meeting

Governors can now heave a sigh of relief after Treasury announced it will be disbursing April funds this week.

Addressing the press Monday, Deputy President Rigathi Gachagua further disclosed that the arrears for the month of May will be released by June 19.

"We have explained to the governors the strains that the Treasury is undergoing in terms of the exchequer and they have understood," said Gachagua.

The DP was speaking Monday after chairing the 20th Intergovernmental Budget Economic Council (IBEC) meeting at his Karen residence.

He stated that so far counties have received a total of Sh305 billion with an outstanding arrears of Sh94 billion for the three months until June.

According to Gachagua, Treasury has already given a commitment to raise funds for June before the end of the financial year.

Governors led by chairperson Ann Waiguru and Treasury Cabinet Secretary Njuguna Ndung’u among other representatives of various state agencies which included the Commission on Revenue Allocation attended the meeting.

During the eight-hour-long meeting, it was agreed that all pending bills be cleared within the next two weeks.

"Ineligible pending bills cannot be expunged from pending bills until the proposed committee sits and makes the decision," Gachagua said.

The county chiefs were also given the liberty to verify their bills and make payment plans during the period.

An additional week, he said, will be designated for engagement and negotiation between the counties and the Controller (COB) to reach a mutual agreement on pertinent issues over the bills.

On the privatization of sugar companies, the DP noted that five cases that were before courts have been concluded and dismissed with three still pending in court.