|Publisher||Council of Governors (CoG)|
|Year of Publication||2021|
...The Medium-Term Debt Management Strategy (MTDS) proved the strategies the County government has put in place to handle and manage its debts. Section 140 of the PFM, Act 2012 authorizes a County Executive Committee Member for finance to borrow on behalf of the County Government only if the terms and conditions for the loan are set out in writing and are in accordance to Article 212 of the Constitution and Sections 58 and 142 of the PFM, Act 2012 among other conditions. The National Treasury has developed guidelines for Country domestic and external borrowing to guide engagement between the GOK and development partners, Counties and National Government to ensure proper coordination not only in the area of loans but also grants and on other forms of aid. Before a County Government borrows, there should be established the internal rate of growth in regard to the respective County GDP, sustainability and credit worthiness besides due diligence. The Commission on Revenue Allocation in collaboration with the World Bank Group (WBG) and other stakeholders, initiated the County Creditworthiness Initiative (CCI) for Kenya to provide technical assistance to County Governments in bridging the creditworthiness gap and access market finance for infrastructure and other development projects.Vihiga County Government has not been accessed, the programme has just been rolled out and so far the initiative has seen the credit rating for three County Governments (Bungoma, Kisumu and Makueni). Therefore in 2021 Vihiga County does not anticipate to borrow in the Medium Term, it will maintain a balanced budget without any deficit. The only debts that affect the County are; by contingency, creditors and statutory liabilities. (Pending bills).
|Tags||county, government, vihiga, Vihiga County Government Proof Of The MTDS 2021-23, County Government Of Vihiga MTDS 2021-23, CoG Vihiga Proof of MTDS 2021-23, Vihiga County MTDS 2021-23, Public Finance|
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