According to Treasury’s Annual Debt Management Report 2018, the ratio of debt service to revenues increased to 33.8 per cent by end June 2018 from 23.6 per cent by end June 2017 as a result of higher stock of external commercial debt maturing in 2017/18. PHOTO FILE | NATION
Kenya’s dilemma of managing the runaway public debt is set to roll over in 2019 as the government confronts the reality of maturing loans.
Despite repeatedly insisting that Kenya’s public debt that currently stands at $50 billion and is projected to hit $60 billion by 2020 and $70 billion in 2022 is within sustainable levels, challenges in settling maturing syndicated loans has exposed the burden facing Treasury in debt management.
