Raila Odinga says graft is to blame for high inflation

CORD leader Raila Odinga flanked by other ODM officials address a large crow at Masaba market in Kuria West in Migori county on October 25,2016. Raila visited Kuria visited the area to strengthen the party and persuade them to vote him in the coming general election. (Photo: Denish Ochieng/ Standard)

Opposition leader Raila Odinga has said corruption in Government is driving inflation to worrying levels.

Raila claimed inflation was worryingly high and as a result, many families were struggling to cope with life while those in authority were least bothered about curbing the economic pressure.

“The current economic climate is more difficult for fledgling businesses because they are feeling the economic heat,” Raila told a crowd at Awendo trading centre on his way to Migori and Kuria.

He was accompanied by Migori Governor Okoth Obado, Suna East MP Junet Mohammed and his Uriri counterpart John Kobado.

Raila once again said the economic challenges facing Kenya was the result of the Jubilee administration’s heavy borrowing and failure to use the money prudently.

The CORD leader revisited the Eurobond issue, arguing that the Sh250 billion the Government borrowed had already been calculated and spread to every Kenyan to repay.

CONSIDER EFFECTS

“I am not against borrowing but we must always consider the knock-on benefits and effects,” he explained.

Raila claimed the money borrowed, if worked feasibly and without malice, would see each Kenyan pay at least Sh85,000.

He said the State must control international borrowing and also limit the liquidity ratio and cash flow in and out of the country’s economy to keep inflation at target levels.

According to the Kenya National Bureau of Statistics, consumer prices in the country increased to 6.34 per cent year-on-year in September 2016, following a 6.26 per cent rise in the preceding month.