Kiharu Member of Parliament and Chair of the National Assembly Budget and Appropriations Committee, Ndindi Nyoro, has issued a grave warning about the country’s rising public debt, describing the situation as a looming economic crisis that requires urgent and comprehensive policy interventions.
Speaking during the Launch of Gikuu Primary School and Gikuu Secondary School's already completed works.Nyoro expressed concern that Kenya’s current borrowing trends are unsustainable and pose a significant threat to both the present and future of the country's economy.
According to Nyoro, the upcoming national budget, set to be presented in June, reveals a deeply troubling reality. Over KSh 1 trillion—nearly a third of the total budget—will be allocated purely for interest payments on existing loans, not even including repayments on the principal debt. At the same time, the government is projected to borrow an additional KSh 900 billion within the same fiscal year to finance the budget deficit.
"We are facing a debt crisis of national significance," Nyoro said. "As a country, we cannot afford to keep borrowing to pay off previous loans and still claim we are on the right track. When a government is spending more on debt interest than on development or essential services like healthcare and education, that is a clear sign of economic mismanagement."
Nyoro emphasized that debt should be used as a tool for development, not a means of survival. He warned that excessive borrowing without corresponding economic output is eroding Kenya's fiscal sovereignty and risking a future of dependency and stagnation.
To highlight the scale of the problem, the MP compared the current debt figures to those from the past. He noted that in 2022, during the general election period, Kenya’s debt stood at KSh 8.8 trillion. Less than two years later, the debt has ballooned to over KSh 11 trillion—an increase of more than KSh 2 trillion in under 24 months.
"This level of borrowing is alarming. In the era of President Mwai Kibaki, who is widely regarded as one of Kenya’s most development-focused leaders, he inherited a debt of KSh 600 billion and left office after 10 years with a total debt of KSh 1.5 trillion," said Nyoro. "That means over an entire decade, he borrowed just KSh 900 billion—less than what we are borrowing annually today. Yet under Kibaki, we witnessed some of the most transformative infrastructure and economic development projects in Kenya’s history."
Nyoro challenged the government to account for how the current levels of borrowing are being used. "If we are borrowing more than KSh 900 billion every year, then Kenyans deserve to see a Kibaki-level transformation every single year—roads, hospitals, power projects, education, innovation—but that’s not happening."
The MP called for an urgent national conversation on debt management and fiscal discipline, arguing that it should be treated as a top priority policy issue. He proposed several interventions, including capping borrowing, reviewing the effectiveness of current loan-funded projects, enhancing domestic revenue mobilization, and increasing transparency and accountability in public spending.
"We must restore fiscal responsibility in this country. Debt, if not properly managed, becomes a burden that suppresses economic growth and stifles future generations. It is not just about paying off loans—it is about the opportunity cost of not investing in our people, our infrastructure, and our future."
Nyoro also urged his fellow lawmakers and economic policymakers to reject complacency and take bold steps to steer the country back onto a sustainable economic path. "It is time we stopped sugarcoating the truth. The numbers are clear, and so is the direction we are headed if we do not act now. Debt management is not just an economic issue; it is a national survival issue."
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