Tuesday, June 25, 2024

CoG warn looming crisis in counties due to cash crunch

The Council of Governors has warned of a looming crisis in counties due to delayed disbursement of cash by the National Treasury.

Speaking on Friday, the Council noted that Treasury is yet to distribute Ksh 81.08 Billion as approved by the Senate.

“Delay in the disbursement of County Equitable Share As of 19th January 2024, the National Treasury has yet to disburse a total of Ksh.81.08 Billion to Counties as per the disbursement schedule approved by the Senate.” said the Coucil.

They continued by saying that the delay has made it difficult for counties to respond effectively to emergencies such as the ongoing floods and payment of county salaries to employees.

“The delay has impeded the Counties’ ability to respond effectively to emergencies such as the ongoing floods. Additionally, it has resulted in non-compliance by Counties to timely payment of employees’ salaries & the remittance of statutory deductions.

The COG calls upon the National Treasury to immediately release the Ksh. 81.08 billion owed to County Governments without any further undue delay.” said CoG

In some counties, employees have already threatened to down their tools as the Governor blame the Treasury for making them appear bad in the eyes of the people when it is actually their fault.

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