KTN Prime: Kenya's debt moves to 3.5 trillion shillings due to local and international investments

Business | Tuesday 29 Nov 2016 10:07 pm

Kenya’s debt levels to local and international financiers increased to 3.56 trillion shillings as of September this year, a move in a bid to finance mega infrastructure projects. According to the national treasury, public debt grew by 628.3 billion shillings in the one year period to September 2016 from 2.94 trillion recorded the same period in 2015, equivalent to 47.97% of the GDP. Gross domestic debt increased by 466.6 billion to 1.85 trillion in September 2016 from 1.38 trillion shillings. External debt grew by 218 billion to 1.69 trillion by end of September 2016 from 1.47 trillion shillings recorded last year. 31.6% of the external debt is from multilateral debt, 42% from multilateral institutions, 25.9% from commercial banks and 0.5% from suppliers’ credit. China stands out as the largest country lending to Kenya, with the amount advanced to Kenya by the Asian country reaching 308 billion as of September 2016.