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Kenya's Economy Stable, Debt Distress Averted - President Ruto

President William Ruto has announced that Kenya has successfully averted the threat of debt distress, emphasising that the nation's economy is on a stable and sustainable path.

The president said at Independence Day celebrations, that the government has made the right decisions, undertaken necessary sacrifices, and made prudent choices, reports Capital FM.

In November Ruto announced that 35 state-owned companies is ready to be privatised as it is currently running inefficiently due to bureaucratic red tape.

The Kenyan national treasury warned in September 2023 of a looming debt crisis in the country as a a result of global shocks - including the impact of Covid-19 - and a domestic slowdown in economic growth.

The Kenyan people have been protesting at the rising cost of food and petrol prices in recent months - protests that were also fuelled by opposition party leader Raila Odinga's cost of living protests in the run up to the presidential elections that was won by President William Ruto. While the government has been forced to cut spending, including the cutting of trips by government officials and trimming its bourgeoning debt, to among others the International Monetary Fund, an enormous burden has been placed on citizens by the government to pay additional taxes to ensure the completion of infrastructure projects in the country.

The government now says that it has secured U.S.$13 billion in investment opportunities and grants, largely from the UK, the U.S. and China, Capital FM reports. President Ruto has assured that the country has made positive steps to deal with debt distress saying they will make a U.S.$300 million payment in December 2023 towards the US$2.0 billion Eurobond maturing in June 2024.

InFocus

Nina Stock/Pixabay

Nairobi (file photo).

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