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Originally published by Nation Business
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business
August 22, 2026
11h ago

How Sh188bn debts stalled 580 road projects

How Sh188bn debts stalled 580 road projects

Pending bills for road construction constitute the largest portion of government debt to contractors and suppliers...

✨ Key Highlights

Over 580 road projects across Kenya were stalled due to Sh188 billion in unpaid bills to contractors and suppliers. The government has since taken steps to settle these debts through the securitisation of future fuel levies.

  • The pending bills for road construction represented over 36.7 per cent of the national government's total pending bills in March last year.
  • Roads and Transport CS Davis Chirchir highlighted that contractors abandoned sites for years due to non-payment, creating a significant backlog.
  • The government raised approximately Sh175 billion by securitising part of the fuel levy (Sh7 per litre) to begin clearing these outstanding payments.

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