Laikipia Pioneers In Vehicle And Equipment Leasing

Laikipia County has moved a step further on service delivery with the leasing of equipment for road construction, as it seeks innovative, timely solutions to bridge development gaps brought by financial deficits.
The move has seen the county becoming the first among the devolved units to enter into the uncharted waters of vehicle leasing arrangement.
The leasing deal is a culmination of close to two years of intense negotiations between the government, the financiers and motor vehicle dealers, where the county leadership credibility played a major role towards hastening the sealing of the deal.
The leased construction equipment, which include motor graders, tippers and excavators will see the construction of more than 700kms of road across the 15 wards in the county this financial year at almost a quarter of ordinary cost of contracting. The road network is expected to open up rural Laikipia and link farms to the markets for easier delivery of farm produce.
Through the leasing agreement, the county is freed from vehicle maintenance tasks which have previously led to total grounding of construction machinery even with minor faults. In addition, the county stands to benefit by staggering payments over multiple financial years while simultaneously implementing development programs, an arrangement that was not previously been practical.
Under the arrangement, supplies for construction will be sourced from local contractors to spur local trade.
The leasing agreement brought on board Absa Group as the Financiers, Toyota Kenya, Isuzu, Panafrican Group among others.

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