Sh40bn debt threatens to halt operations

 

Nairobi Governor Evans Kidero at Charter Hall on April 24, 2013. He has also been accused of failing to deliver on his campaign pledges. Photo/FILE  NATION MEDIA GROUP

By PETER OBUYA

In Summary

• The debt crisis is said to be the reason Governor Evans Kidero recently paid a courtesy call to President Kenyatta.
• The governor's Senior Political Advisor Jeff Otieno said the debt has crippled delivery of key services.
• Dr Kidero has also been accused of failing to deliver on his campaign pledges one of them being slum eviction.

Operations of the Nairobi County government could soon grind to a halt due a Sh40 billion debt.

According to a senior county official, the debt crisis is the reason Governor Evans Kidero paid a courtesy call to President Uhuru Kenyatta last Friday.

(READ: Counties go for debts in budget plans)

The governor's Senior Political Advisor Jeff Otieno said the debt has crippled delivery of key services.

“The county government inherited a debt of over Sh40 billion from the defunct City Council of Nairobi and this has affected the delivery of key services because there is no money.

“Salaries alone gobble up to Sh640 million a month yet the monthly revenue collection stands at Sh540 million.

“This is why the governor has to meet with leaders of the national government to find ways of how this debt can be written off,” he said.

Dr Kidero has also been accused of failing to deliver on his campaign pledges one of them being an end to haphazard slum eviction.

“We are requesting the governor to stop all evictions until the Eviction and Resettlement Bill is passed,” said Mr Ezekiel Rema, Muungano wa Wanavijiji president.