Nairobi's chief executive defended transferring county hospital deposit accounts to Sidian Bank during testimony before a Senate oversight panel. Sakaja Johnson cited chronic payment processing delays at the previous financial institution, which hampered timely salary disbursements to healthcare employees when national government reimbursements lagged.
The governor emphasized compliance with public finance regulations, noting that statutory provisions permit counties to select banking partners. Sidian offered superior interest terms and presented the most competitive proposal after officials solicited bids from multiple lenders. Critics have questioned transparency surrounding the switch, though Sakaja maintained the arrangement serves administrative efficiency and financial management goals.
County authorities directed all fourth- and fifth-tier medical facilities to establish new accounts with the designated institution following an executive committee resolution.
The governor emphasized compliance with public finance regulations, noting that statutory provisions permit counties to select banking partners. Sidian offered superior interest terms and presented the most competitive proposal after officials solicited bids from multiple lenders. Critics have questioned transparency surrounding the switch, though Sakaja maintained the arrangement serves administrative efficiency and financial management goals.
County authorities directed all fourth- and fifth-tier medical facilities to establish new accounts with the designated institution following an executive committee resolution.
