{"id":233421,"date":"2026-04-10T11:48:22","date_gmt":"2026-04-10T08:48:22","guid":{"rendered":"https:\/\/www.ghafla.co.ke\/ke\/?p=233421"},"modified":"2026-04-10T11:49:29","modified_gmt":"2026-04-10T08:49:29","slug":"government-moves-to-clear-road-dues-targets-ksh20b-payout","status":"publish","type":"post","link":"https:\/\/www.ghafla.co.ke\/ke\/government-moves-to-clear-road-dues-targets-ksh20b-payout\/","title":{"rendered":"Government Moves to Clear Road Dues, Targets Ksh20B Payout"},"content":{"rendered":"<p>The government is set to pay contractors at least Sh20 billion this week for road works completed in the first quarter of the year, as part of a broader push to eliminate pending bills.<\/p>\n<p>Roads Principal Secretary Joseph Mbugua said the State has already cleared Sh177 billion in arrears accumulated since 2020, signalling a shift toward timely payments and improved project continuity.<\/p>\n<p>The clearance of pending bills has been driven by the securitisation of the Road Maintenance Levy Fund (RMLF) &#8211; a financing model that converts future fuel levy collections into immediate cash.<\/p>\n<p>Under the initial arrangement, Sh7 per litre of fuel was securitised, enabling the government to raise Sh175 billion. Combined with exchequer allocations, this has allowed full settlement of contractor dues.<\/p>\n<p>Cabinet has since approved securitisation of up to 50% of the levy (Sh12.50 per litre) to sustain funding for infrastructure.<\/p>\n<p>\u201cWe don\u2019t have any pending bills, and this week we plan to pay certificates raised in Q1. Going forward, we don\u2019t want to accumulate new arrears,\u201d Mbugua said.<\/p>\n<p>At least 875 stalled contracts had been affected by delayed payments. Smaller claims &#8211; 560 contracts valued at Sh50 million and below &#8211; were prioritised and cleared early, with the remainder settled by the end of last year.<\/p>\n<p>The payments have since revived road construction projects nationwide, with spillover benefits in sectors such as cement, steel, and quarrying.<\/p>\n<p>Despite renewed momentum, infrastructure gaps remain significant:<\/p>\n<ul>\n<li>Only 20% (48,052 km) of roads are in good condition<\/li>\n<li>46% (109,463 km) are rated fair<\/li>\n<li>33% (77,720 km) are in poor condition<\/li>\n<\/ul>\n<p>Kenya\u2019s total road network stands at 239,122 km, with 181,858 km under county governments and 57,263 km classified as national trunk roads.<\/p>\n<figure id=\"attachment_233423\" aria-describedby=\"caption-attachment-233423\" style=\"width: 700px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-233423\" src=\"https:\/\/www.ghafla.co.ke\/ke\/wp-content\/uploads\/sites\/4\/2026\/04\/images-2026-04-10T114300.288.jpeg\" alt=\"\" width=\"700\" height=\"393\" srcset=\"https:\/\/www.ghafla.co.ke\/ke\/wp-content\/uploads\/sites\/4\/2026\/04\/images-2026-04-10T114300.288.jpeg 700w, https:\/\/www.ghafla.co.ke\/ke\/wp-content\/uploads\/sites\/4\/2026\/04\/images-2026-04-10T114300.288-300x168.jpeg 300w\" sizes=\"auto, (max-width: 700px) 100vw, 700px\" \/><figcaption id=\"caption-attachment-233423\" class=\"wp-caption-text\">A road under construction in Nakuru City (Image: Files)<\/figcaption><\/figure>\n<p>Currently, 3,887 km of roads are under construction.<\/p>\n<p>The government requires an estimated Sh600 billion for maintenance alone, and up to Sh1.78 trillion for full development and upkeep of the network &#8211; far above the Sh60 billion annual allocation.<\/p>\n<p>Mbugua attributed past pending bills to this mismatch between funding and ongoing projects but said new measures are aimed at preventing recurrence.<\/p>\n<p>In Nairobi, key projects underway include upgrades to Mombasa Road\u2013JKIA (lower road) and the Ngong Road corridor, which features a modern dual carriageway with a viaduct to ease congestion.<\/p>\n<p>Both projects incorporate non-motorised transport (NMT) infrastructure, including pedestrian walkways, cycling lanes, and urban landscaping.<\/p>\n<p>The government is targeting the construction of at least 6,000 kilometres of new roads in the medium term, as it seeks to stabilise the sector and improve national connectivity.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The government is set to pay contractors at least Sh20 billion this week for road works completed in the first quarter of the year, as part of a broader push to eliminate pending bills. Roads Principal Secretary Joseph Mbugua said the State has already cleared Sh177 billion in arrears accumulated since 2020, signalling a shift [&hellip;]<\/p>\n","protected":false},"author":6067,"featured_media":233422,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"template-parts\/template3.php","format":"standard","meta":{"footnotes":""},"categories":[138280],"tags":[140125,140466],"class_list":["post-233421","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-featured","tag-kenya-urban-roads-authority","tag-roads-ps"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.4 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Government Moves to Clear Road Dues, Targets Ksh20B Payout - Ghafla! 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Roads Principal Secretary Joseph Mbugua said the State has already cleared Sh177 billion in arrears accumulated since 2020, signalling a shift [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.ghafla.co.ke\/ke\/government-moves-to-clear-road-dues-targets-ksh20b-payout\/\" \/>\n<meta property=\"og:site_name\" content=\"Ghafla! 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