Kenya defends role in $152m loan payment cash

Kenya faces backlash after using emergency funds to settle a defaulted Kenya Airways loan guaranteed in breach of the law.

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Eight banks shared the Ksh19.7 billion ($152.54 million) that the National Treasury tapped from the emergency kitty to pay a Kenya Airways (KQ) loan in January, new details from Parliament show.

The loan payment, however, has attracted criticism as the State is put on the spot for guaranteeing the loan for working capital, in breach of the law.