County governments will soon be able to borrow up to five per cent of their audited revenue from Central Bank. CBK governor Patrick Njoroge said on Tuesday that CBK will provide them with overdrafts of a maximum of five per cent of gross recurrent revenues. Njoroge said the government will come up with guidelines by the end of Octoberm to make it legal for counties to borrow funds. Ruto said the council has approved mechanisms for county governments to access overdrafts at CBK with guarantees from Treasury. Council of Governors chairman Peter Munya (Meru) and CSs Henry Rotich (Treasury) and Cleophas Mailu (Health) also attended the meeting.

Source: The Star September 28, 2016 15:11 UTC