Kenya borrowing Sh3.4 billion every day- MP Ndindi Nyoro
Nyoro said the rapid borrowing, three times what was borrowed during President Mwai Kibaki’s entire 10-year tenure, risks destabilising the economy and increasing long-term financial obligations.
Kenya’s debt has surged past Sh12.1 trillion, with the country borrowing Sh3.4 billion every day, Kiharu Member of Parliament Ndindi Nyoro has claimed.
Speaking at the CITAM Business Forum Expo in Nyeri, Nyoro said the rapid borrowing, three times what was borrowed during President Mwai Kibaki’s entire 10-year tenure, risks destabilising the economy and increasing long-term financial obligations.
More To Read
- Kenya deviates from debt plan, risks debt trap amid soaring interest payments – CoB
- Debt servicing limits Kenya’s ability to fund development – CoB
- SMEs warn soaring prices of raw materials, costly licences threaten survival
- Kenya eyes TDB loan to clear Sh51.6 billion debt due September
- Parastatals’ unchecked borrowing fuelliing Sh2.9 billion debt, Auditor General warns
- Kindiki welcomes CBK lending rate cut, says economy on recovery path
Nyoro noted that Kenya has borrowed over Sh3.5 trillion in the past three years alone.
“If you read the Central Bank of Kenya data, it shows that the Kenyan economy has now borrowed, and our national debt is over Sh12.1 trillion,” said Nyoro.
“We have borrowed over Sh3.5 trillion in just three years. By comparison, President Kibaki borrowed only Sh1.2 trillion in his entire 10-year tenure."
Nyoro emphasised that even visible infrastructure projects are not fully reflected in the official debt figures.
He cited the Kenol–Marua Road expansion and the Talanta Stadium project, both of which fall under securitisation schemes rather than the official debt tally.
"That is another debt securitisation of the sports fund, where we borrowed Sh46 billion and will be paying Sh100 billion in interest rates alone after 15 years."
Similarly, the Nairobi–Nakuru highway is being financed through pension funds under a Public–Private Partnership (PPP), not the Sh12 trillion figure.
“That is NSSF money being used as a PPP to build that road,” he said.
Nyoro urged Kenya’s leadership to exercise fiscal discipline, especially as the country approaches elections, when governments often increase spending to showcase development.
“Every election period, we risk overheating the economy through reckless borrowing. Kenya has the resources to develop without putting the country on such a perilous path,” he said.
He cautioned that unchecked borrowing could push Kenya toward economic instability similar to challenges recently faced by countries like Sri Lanka, Ghana, Ethiopia, and Zambia.
Other Topics To Read
Top Stories Today
