Business Daily | by Tony Watima
One of the hottest debates today is whether Kenya’s public debt remains sustainable. Debt sustainability analysis is simply forming expectations about the future performance of a country’s debt repayment.
Analysts and credit-rating agencies forecast that Kenya’s public debt is unsustainable and it is time the Treasury re-assessed our debt sustainability trajectory.
On the hand, the Treasury holds that Kenya’s public debt remains sustainable, a position the Treasury Cabinet Secretary reiterated in his budget statement last week. To showcase their confidence in the country’s debt sustainability, Kenya will be borrowing a record Sh930 billion in the coming financial year. This confidence is backed by the IMF which also holds the same position that the country’s debt remains sustainable…
