Kenya will soon head to a debt crisis where the government will not be able to pay what it owes.
In June 2018, for the first time, Kenyan debt crossed Ksh. 5 trillion mark. This was largely contributed by external borrowing. In 2019, Kenya’s appetite for borrowing is still increasing as government obtains funds to finance some of its projects like SGR and so on. Below is a breakdown of the current Kenyan debt in billions.
|Country||Total in billion Kenyan shillings|
|China||634.4 (expected to rise further)|
- Why eating pussy could be good for your health
- Why Prophet David Owour keeps his long beards
- Major corruption scandals in Kenya from 2012 to 2019
Kenyan Chinese debt is larger compared to others as its bigger segment was taken to finance phase 1 and 2 of the Standard Gauge Railway. Having more debts means more principal and interest. This will pose a very big challenge to the public debt management sector, development financing, and some recurrent expenditures.