
KENYA ON WATCH 🇰🇪
February 27, 2025 at 10:47 AM
*This surge has occurred under the current administration despite the introduction of higher taxes aimed at reducing the fiscal deficit*.
This rise in just over two years accounts for nearly half of the Sh3.319 trillion borrowed domestically during the 10 year tenure of former President Uhuru Kenyatta.
For comparison, when Uhuru took office in April 2013, Kenya's domestic debt stood at Sh1.023 trillion. By the time he left in September 2022, the debt had quadrupled to Sh4.342 trillion.
The borrowing spree has continued into this year, with domestic debt expanding by Sh152.7 billion so far. This comes at a time when the Treasury's overdraft facility at CBK has reached a record Sh107.5 billion as of last week.
Commercial banks remain the biggest holders of Kenya's domestic debt, accounting for 45.92%, followed by pension funds at 28.38%.
Other lenders include retail investors at 12.62%, insurance firms at 7.21%, and state corporations at 5.87%
