The National Treasury has said it will disburse Sh39 billion to the county governments by Friday.
This comes a day after Council of Governors Chairman Governor Martin Wambora threatened that counties will shut down by June 24.
Appearing before the Senate Finance and Budget Committee, Cabinet Secretary Ukur Yatani said his ministry will endeavour to send Sh38 billion to Sh39 billion by the end of week.
“My ministry will endeavour to disburse the funds to clear April and part of March arrears,” he said.
According to the Governors, Treasury has not only failed to comply with the Constitution, but also with its own document- cash disbursement schedule, 2020, stating that some counties like Nairobi, has not received cash for up to six months now.
“This has seen counties stigmatized for failing to offer critical services especially now in the time of Covid-19 pandemic, for what is beyond them,” he added.
National Treasury has failed to disburse Sh102.6 billion owed to them.
Last week, Treasury Cabinet Secretary Ukur Yatani gave government agencies 20 days to clear pending bills.
To enforce compliance, Treasury said that it will stop the transfer of cash to agencies that will not comply with the directive.