Plan to give Treasury sweeping borrowing powers opposed

National Treasury CS Njuguna Ndung'u. [Elvis Ogina, Standard]

The plans to give the National Treasury powers to increase public debt before parliamentary approval and later seek the same has been opposed by different stakeholders who note that this could plunge the country into deeper woes.

An amendment Bill to the Public Finance Management Act (2012) has proposed to give Treasury powers to breach the set debt levels but also requires the Ministry to give Parliament an explanation in writing whenever public debt exceeds the threshold set in law and offer a remedial plan.