Ruto: I will not borrow to pay Counties
President William Ruto insists his development agenda will be funded through funds raised locally.
In an apparent reference to the recent delays by Treasury to fund the county governments, the Head of State said he will not take debts so as to please governors.
President Ruto equated depending on debts to conduct government’s businesses, as digging a deep hole which will be difficult to come out of in the long run.
The President forther accused the previous regime led by his predecessor Uhuru Kenyatta, which he also served as the deputy president, of putting the country in a mess through huge external debts.
“What I won’t do is digging a tunnel by borrowing debts to disburse to counties (referring to going for huge debts), which we will be unable to rescue ourselves,” Dr Ruto stated.
He regretted that Kenya’s external debts now are at over Sh9 trillion.
“We are now struggling to settle Sh9 trillion debt, yet the former President Mwai Kibaki (now deceased) left only Sh4 trillion debt.”
As the county governments lament on delay of budget allocation and disburse of funds by the national government, Dr Ruto affirmed that he is strategizing on how to settle counties’ accumulated debts before the year, 2023, ends.
“I am hoping I shall have settled the county’s debts before the year elapses. What I won’t do is to agree with them to work on debts. Let’s avoid debts,” he stressed.
President Ruto lauded lawmakers who passed the recently contested Finance Bill 2023, which proposes an increase of VAT on basic commodities, saying the move will help Kenya Kwanza government collect funds to take forth his promised development agendas.
Members of the County Assemblies (MCAs) across the county have vowed to shut down operations in counties, if the Salaries and Remuneration Commission (SRC) wont’t review their payment terms.
The county legislators want a salary increment.
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