Former Chief Justice David Maraga has accused political leadership of using public borrowing to drain public resources, claiming the country's debt has risen from Sh1.77 trillion in 2013 to nearly Sh13 trillion.
Maraga made the remarks during a State of the Nation address on Tuesday, June 16, delivered as leader of the United Green Movement (UGM) party
The platform has become a regular feature of his 2027 presidential bid, used to scrutinise President William Ruto's administration on the economy and governance.
"One of the methods that the political elites have used to steal from the public is borrowing," said Maraga.
He said public debt stood at Sh1.77 trillion in July 2013, when late President Mwai Kibaki left office, but had since grown sharply, describing much of it as "odious debt."
"The debt, most of which is odious debt, is now almost 13 trillion shillings," noted Maraga.
His figure aligns with Treasury's account, which puts total public debt at Sh13.02 trillion, with debt servicing consuming about 69 per cent of ordinary revenue in the 2024/25 financial year, more than double the International Monetary Fund's (IMF) recommended threshold.
Maraga said the trend has crowded out private businesses from credit markets.
"Banks, instead of lending to ordinary people, are giving all the money to the government," explained Maraga.
Treasury figures show commercial banks held Sh2.48 trillion of domestic debt by February, with insurance firms and pension funds holding a further Sh1.91 trillion, reflecting the financial sector's growing exposure to government securities.
He also criticised the government's use of securitisation, saying it shifts the repayment burden onto younger generations.
"Securitisation is borrowing on the security of future tax revenues. That's mortgaging the Kenyan youth's future," said Maraga.
The practice has also fuelled a separate dispute between Kenya and the IMF, which wants financing arrangements tied to future revenue, such as those backing the Standard Gauge Railway (SGR), counted as government liabilities even though they sit off the official balance sheet, a shift that could push recognised public debt even higher. Business Daily
Maraga linked the debt burden to youth unemployment and urged young Kenyans to take a more active role in shaping the country's future.
His remarks come as Treasury seeks a new Sh145 billion Eurobond to plug a Sh1.16 trillion deficit in the Sh4.82 trillion budget for the 2026/27 financial year, keeping debt and taxation at the centre of political debate ahead of the 2027 election.
