Financial Implications for Stalled Public Building Projects
Abstract
The government of Kenya initiated a number of building construction projects so as to provide building facilities required
for provision of basic services. However, most of these building projects were stalled at different stages of implementation
hence made the government not achieve the intended objectives. Earlier studies have been carried out mostly on stalled
building projects both in Kenya and in other countries but not particularly on the financial implications of stalled public building
projects. This study therefore undertook a detailed financial analysis of stalled public building projects to determine their
financial implications. A documentary analysis of 12 sampled stalled public building projects was used to accomplish the study
objectives. The analysis was on secondary data of the projects, specifically regarding the amount of money spent on the
projects before stalling and during the completion phase after the works resumed. The results of the study indicate that stalled
public building projects result into wastage of public funds initially invested in the projects, increased public expenditure on
completion and loss of public funds. It is therefore essential to put in place financial planning, cost management and control
measures in the early stages of the project implementation in order to avert stalling.
Citation
Mutua IAfrica Habitat Review 7 (2013) 565-572.Publisher
Journal of Built Environment, School of Built Environment