Payments for eligible works completed in the last quarter are expected to begin today (August 21) and be completed by August 28 Upper Hill–Kenyatta Avenue viaduct /HANDOUT The government has mobilised Sh139 billion to clear certified outstanding bills owed to road contractors as it seeks to revive stalled projects and accelerate ongoing road works.
Payments for eligible works completed in the last quarter are expected to begin today (August 21) and be completed by August 28, Roads and Transport Cabinet Secretary Davis Chirchir said on Thursday. The move is expected to offer relief to contractors who have faced delayed payments, which have slowed the implementation of several road projects and strained the finances of construction firms.
Speaking during a meeting with road contractors, engineers and technical officers from the State Department for Roads and its implementing agencies, Chirchir said the government had received the first tranche of the latest financing programme and was expecting the next tranche shortly.
The CS said the new financing framework (securitisation) was necessary because conventional exchequer allocations were insufficient to meet the cost of ongoing road works while also settling accumulated obligations. “We are not simply clearing yesterday’s pending bills.
The funds enabled the State to settle pending bills for certified works and eligible interest obligations up to March 2026, allowing contractors whose projects had slowed to resume works. Contractors owed Sh50 million and below, numbering about 560, were paid early last year, with the government continuing to clear the remaining obligations through December.
Chirchir said the new payments would be processed through an established framework based on properly measured, verified and certified claims.