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Originally published by Capital Businessbusiness
May 11, 2026
3h ago
Counties must stop signing contracts they cannot afford

As of June 30, 2025, county governments collectively reported approximately Sh183 billion in pending bills. Of this amount, Sh130.8 billion relates to recurrent expenditure while Sh52.2 billion is tied to development projects. Nairobi County alone accounts for over Sh86.8 billion..
✨ Key Highlights
Kenyan county governments are facing a significant crisis by signing contracts without the financial capacity to fulfill them, leading to billions in pending bills owed to suppliers and contractors.
- As of June 30, 2025, county governments collectively owe approximately Sh183 billion in pending bills.
- The problem involves county governments across Kenya.
- Notable debts include Nairobi County's over Sh86.8 billion in outstanding obligations.
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