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Kenya: Treasury Warns of Looming Debt Crisis
Capital FM, 18 September 2023
The National Treasury is warning of a looming debt crisis as a result of global shocks and a slowdown in economic growth. Read more »
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Kenya: Kenyans Face More Taxes as Treasury Proposes to Increase Vat to 18%
Capital FM, 13 September 2023
Kenyans will soon pay more in taxes as the National Treasury is proposing to increase the value-added tax (VAT) on products and services to 18 percent from the current 16 percent. Read more »
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Kenya: Rogue Credit Rating Agencies Planned to Increase Our Debt, President Ruto Says
Capital FM, 6 August 2023
President William Ruto has bashed the international credit bureaus claiming they had eagerly anticipated for the country to default its Sh280 billion loan slated for maturity next… Read more »
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Kenya: Fitch Downgrades Kenya's Rating to Negative On High Debt
Capital FM, 21 July 2023
Global rating firm Fitch has downgraded Kenya's rating from stable to negative due to elevated debt repayment. Read more »
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Africa: Ruto Hustles to Dodge a Debt Trap
ISS, 14 July 2023
For all its economic and governance woes, Kenya seems to be on a better long-term trajectory than South Africa. Read more »
Kenya's Treasury Warns of Looming Debt Crisis
Kenya's National Treasury is warning of a looming debt crisis as a result of global shocks and a slowdown in economic growth.
The government borrowed over U.S.$6 billion in the financial year 2022/23, comprising project loans, programme loans, commercial borrowing, use of IMF special drawing rights (SDR) allocation and domestic securities.
Former president Uhuru Kenyatta borrowed heavily from China and the international financial markets to fund rail, road and port projects. Many of these reportedly failed to generate enough to pay the debts.
In June 2023 his successor, President William Ruto signed into law the Finance Bill that was approved by the National Assembly in an attempt to raise additional funds through new taxes. Ruto hopes the Bill will enable his administration to deliver on their manifesto pledge to Kenyans and cut on a huge dependence on external debt. The Finance Bill if implemented, will mean heavier taxes for Kenyans, in addition to the rising food and fuel prices.
Petitioners have meanwhile approached the courts to have the Finance Bill 2023 declared unconstitutional, null and void.
InFocus
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Petitioners have urged a three judge bench to declare the Finance Act 2023 unconstitutional, null and void. They told the judges that the Finance bill was passed by Read more »
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The online community criticized Kenya's transportation minister and airports authority due to reported issues of leaking roofs at the terminals of Jomo Kenyatta International Read more »
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Police dispersed and teargassed hundreds of demonstrators in Kisumu protests that replicated in Nairobi, Kisii, Mombasa and other towns on July 7, 2023. Read more »
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Kenya has reportedly secured a U.S.$500 million syndicated loan arranged by a consortium of five international lenders, with the proceeds expected to fund ongoing development Read more »
