Shadrack Nyakoe
Nairobi Contractors and Suppliers to Receive Sh1.26 Billion in Approved Supplementary Budget Nairobi County contractors and suppliers are set to receive a Sh1.26 billion allocation following the County Assembly’s adoption of the supplementary budget estimates for the 2024/25 Financial Year.
This allocation aims to alleviate the concerns of suppliers who have been facing delays in payments. The Controller of Budget has reported that Nairobi County’s pending bills amount to a significant Sh121.06 billion, constituting 62% of the total outstanding bills across all counties.
Wilfred Oluoch Odalo, the Chairman of the Finance, Budget, and Appropriations Committee, highlighted the crucial role of this additional funding in addressing the county’s supply chain challenges, which heavily rely on timely payments. Out of the supplementary allocation, Sh513 million will be dedicated to clearing pending bills at the County Assembly.
Odalo urged the county executive to prioritize payments for suppliers who have already completed their work.
The approved budget estimates have been revised from Sh43.546 billion to Sh44.47 billion. While recurrent expenditure has increased by Sh3.09 billion to Sh32.39 billion, development expenditure has been reduced by Sh2.18 billion, dropping from Sh14.3 billion to Sh12.077 billion.
This revised allocation for development expenditure falls short of the 30% threshold mandated by the Public Finance Management (PFM) Act of 2012.
The supplementary budget includes key allocations such as Sh150 million for emergency and disaster management, Sh400 million for the school feeding program, Sh604 million for solid waste management, and Sh300 million for the purchase of health commodities.
Notably, the budget committee also reinstated Sh200 million for the Ward Development Fund, which had been initially cut in the proposed estimates. Odalo emphasized the importance of prioritizing the clearance of pending bills for Ward Development Programmes in accordance with the law.
This revised budget signifies a crucial step towards addressing Nairobi’s financial challenges while ensuring adequate funding for essential services and projects.
Patmoz
