The National Treasury Cabinet Secretary Ukuru Yatani has compared Kenya’s Gross Domestic Product (GDP) to that of advanced economies like the United Kingdom (U.K), United States (U.S) and Angola saying that there was no serious problem.
He said this while in a meeting with the Senate Committee on Finance and Budgeting on the status of public debt in Kenya chaired by Sen. Charles Kibiru on Wednesday.
The Committee took exception to his remarks noting that it had earlier cautioned him against comparing Kenya’s GDP to those of advanced countries with huge economic bases and international investments.
Yatani said retiring debt ‘is a long and tedious process and that Treasury had engaged experts to advise on restructuring the loans.
“When you appeared before us over a year ago part of your immediate concern and engagement was to retire expensive debt and leave the less expensive debts. What changed?” posed Sen Moses Wetangula.
The Committee has directed CS Yatani to furnish, within seven days, a schedule of Commercial External Debt that it has earmarked for retirement.
As at the end June 2021, Kenya’s nominal public debt stock stood at Ksh 7.74 trillion equivalent to 69.07 percent of GDP.
This comprises 52.1 percent or Ksh.4.04 trillion external debt of total debt and 47.9 percent or Ksh.3.70 trillion Domestic debt.
Other Senators present at the meeting included- Sen Farhiya Ali, Sen Rose Nyamunga and Sen Mutula Kilonzo Jr.
