Former Deputy President Rigathi Gachagua has placed government debts, incomplete development projects and the credibility of procurement documents at the centre of his proposed economic agenda, promising to address the three issues if his administration takes power.
Gachagua said national and county governments must first settle verified obligations to contractors and suppliers before taking on fresh commitments, arguing that unpaid bills had pushed businesses and families into serious financial difficulties.
Speaking to business executives at Silo Modern Farmhouse in Kansas City, Missouri, USA, on Friday, September 18, 2026, the Democracy for the Citizens Party (DCP) leader said delayed government payments were hurting Kenyans whose livelihoods depended on contracts with public institutions.
“Kenyans are suffering. Their homes are being auctioned. People have suffered depression. Families are broken,” Gachagua said.
He claimed that the national and county governments had accumulated more than Sh900 billion in debts owed to businesses and contractors.
Gachagua said clearing verified government obligations should be treated as an economic priority because the funds would return to businesses and circulate through the wider economy.
“There will be an economic stimulus if this one was to be paid, and we want to give it priority in the new administration,” he said.
New projects to wait
Gachagua said his proposed administration would also change the approach to government development programmes by giving priority to projects that have already started but remain incomplete.
He argued that the government should avoid beginning fresh projects while existing ones remain unfinished.
“Before we can start anything new, we must clear all the buildings and again complete the ongoing projects before we start new ones,” Gachagua said.
He claimed that several projects launched under retired President Uhuru Kenyatta were later abandoned as attention shifted towards new projects.
Gachagua further alleged that the decision to introduce new projects was linked to opportunities for fresh commercial negotiations, including what he described as opportunities to negotiate commissions with Chinese contractors.
The statement provided did not give evidence or identify specific projects to support the claim.
Existing public-finance regulations require government institutions to make provision for multi-year contracts in their budgets. The rules also require accounting officers to ensure resources are available to meet obligations entered into by government.
Gachagua also wants government procurement documents to regain the level of trust they once enjoyed among banks and businesses.
He singled out Local Purchase Orders (LPOs) and Local Service Orders (LSOs), saying they should again serve as useful documents for businesses seeking financing.
According to Gachagua, banks previously accepted LPOs as sufficient evidence of expected government payments and were willing to lend against them.
“You’d get an LPO for 20 million shillings, walk to the bank with LPO, and get 10 million shillings loan without any other security other than LPO,” he said.
He said government should ensure that money is available before awarding contracts, rather than entering into obligations that later become unpaid bills.
“In our administration, no contract will be issued against no funds,” he said.
The proposal follows a public-finance principle requiring government agencies to operate within approved budgets, appropriations and financial controls. Pending bills are also treated as a financial risk for the public sector.
Gachagua said enforcing the rules would help rebuild confidence in government commitments among suppliers, contractors and financial institutions.
“That’s something that is already in law in the PFM Act. We’re gonna enforce that and restore the dignity and the trust of government documents,” he said.
The burden of unpaid bills has also affected county governments. National Treasury reported county pending bills of Sh183 billion as of June 30, 2025, with almost half of the amount having remained unpaid for more than three years.
Gachagua's proposed approach is built around settling verified government debts, completing projects already under construction before starting new ones, and ensuring that every government contract is supported by available funds.