The government will prioritize pending bills; Treasury to issue 500 billion shillings bond, Rigathi says

Vice President Rigathi Gachagua. [Mose Sammy, Standard]

Vice President Rigathi Gachagua has disclosed details on how the government will pay the pending bills.

In an interview on KTN News, Rigathi revealed that the government led by William Ruto is keen to offset the bills amounting to hundreds of billions of shillings.

“To begin with, it’s when the money is available, because at the moment there is no money; we have inherited a debt of 500 billion shillings in pending bills and we don’t want to borrow money. That’s why we can’t have a fuel subsidy. You cannot borrow to subsidize consumption,” Rigathi said.

According to the DP, the Treasury will create a link to resolve the impasse.

“We have spoken with the Treasury and we are looking into the possibility of creating a bond to raise funds to pay pending bills. If it succeeds and I am sure it will succeed, if we inject 500 billion shillings and pay all the people with pending bills, it will be an economic stimulus intervention. The money will flow through the economy and the ripple effect will be felt by everyone,” Rigathi said.

The vice president said the move would also address stalled projects.

“Any stalled projects where contractors have stopped working due to non-payment will come back and continue. The net effect is that everyone working on these projects will find employment and that will turn the economy around,” Rigathi said.

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