Laikipia implements 1.16 billion shillings infrastructure bond projects – Kenya News Agency
Laikipia County has started using a 1.16 billion shillings infrastructure bond after the long-awaited approval from the national cabinet, said Boni Murungi, County Executive Committee Member (CECM) in charge of Finance and economic planning.
Speaking to the media in Nanyuki at the official signing of the Karuga smart city contract on Tuesday, the CEC said the bond is expected to fund several projects in the county aimed at boosting economic growth.
“About 16 projects are supported by the infrastructure bond and work has started. We started with Karuga in other towns after procurement was completed,” Murungi said.
County Chief Infrastructure Officer Duncan Mwangi said Karuga in Laikipia West sub-county will be the first smart city to benefit from around 96 million shillings from the infrastructure bond after a competitive supply by local contractors.
“As part of the infrastructure bond, we are establishing 10 smart cities and Karuga is the first one we have been able to procure and award it,” the chief executive said, adding that they would build 1.2 kilometers of standard bitumen road around Karuga smart city.
Mwangi said the Karuga smart city project is expected to be completed within eight months.
He urged residents to be cooperative during the implementation of the project with the aim of improving security in the area and at the same time creating job opportunities.
The contractor must also install public lighting, construction of 4.4 kilometers of paths and drainage systems.
The general contractors of Warugita who secured the construction of Karuga Smart City said they would complete the project within the stipulated time.
Other towns that are expected to benefit from the infrastructure bond are Doldol, Rumuruti, Ol Jabet Naibor, Wiyumiririe, Kinamba, Kalalu, Mugwarak and Pesi.
Meanwhile, the bond has secured cabinet approval after passing through several other stages such as the Intergovernmental Fiscal and Economic Council (IBEC), the National Assembly and the County Assembly, among others.
Laikipia will be the first county since the establishment of the decentralized unit to launch the infrastructure bond on the stock market.
The bond is expected to be redeemed within seven years.
By Muturi Mwangi