Kenya’s credit rating drops to negative after debt pileup

The country’s credit rating outlook was lowered to negative from stable because of elevated risks from currency depreciation and a widening budget deficit, Standard & Poor’s said.

Nairobi Securities Exchange (NSE) trading floor. Kenya's low fiscal position and mounting debt stock influenced the negative outlook.

The country’s rating was affirmed at B+, four levels below investment grade, the New York-based firm said in a statement. The drop in rating comes even as Government announced that it will cut on its budgetary spending to address liquidity crunch.