Our debt is sustainable and growth assured, says Rotich

Treasury CS Henry Rotich.

1. The common feeling is that Kenya is in a hole in as far as foreign debt is concerned, and that we are still digging instead of stopping and strategising on how to come out, your comment?

Of course, this is not true. Our public debt is and remains sustainable. As at end December 2018, Kenya’s public debt in nominal terms was equivalent to 52 per cent of GDP of which half is foreign debt. The debt is 46 per cent of GDP in Net Present Value terms and within the statutory level of 50 per cent of GDP in NPV terms. The 2019 Budget Policy Statement and 2019 Medium Term Debt Strategy outlines the strategy for maintaining a sustainable debt position, which we refer to as fiscal consolidation. This includes measures to raise more revenues, containing public expenditures and managing public investments. I urge the general public to read these documents carefully and avoid being dissuaded by cynics who are spreading sentimental stories.