According to a report by Kenyans.co.ke, a recent disclosure to the National Assembly has revealed that President William Ruto’s administration borrowed Ksh 68 billion from external lenders between September and December last year.
This large debt accumulation has raised concerns about the country’s increasing financial burden and the sustainability of its economic plans.
The report, which was presented by the National Treasury on February 13, highlights the government’s efforts to cover a widening budget deficit while funding key infrastructure projects.
The loans were secured to support the administration’s development agenda, but the rising debt raises questions about Kenya’s ability to manage its financial future.
A portion of the borrowed funds came from Italy, where the government obtained a Ksh20 billion credit facility on October 14.
The loan, intended for infrastructure development, will be repaid in 27 installments up to 2045. The long repayment period shows how the government is relying on external borrowing to meet its financial needs.
The borrowing has triggered debates on whether the government is taking on too much debt too quickly. While supporters argue that the loans will drive economic growth by funding important projects, critics warn that continuous borrowing without clear returns could weaken Kenya’s financial position.
The concern is that the country could struggle to pay back these loans, leading to more taxation or spending cuts in essential services.
Kenya’s national debt has been rising steadily, and with each new loan, the pressure on future generations increases. The key question now is whether the government has a clear plan to manage and repay this debt without overburdening the economy.
If borrowing continues without a strong repayment strategy, the risk of a financial crisis will only grow. For now, Kenyans can only watch and wait to see if Ruto’s administration can balance development with responsible debt management.
