Kenya's Debt Surpasses KSh 11.5 Trillion Amid William Ruto's Borrowing Spree
- President William Ruto has failed to tame Kenya's high public debt, which continues to soar under his administration
- The Central Bank of Kenya highlighted the value of domestic and external debt accrued by the country in its weekly bulletin
- Alternative economics consultant Tony Mwiti explained to TUKO.co.ke how the country could manage its high debt
Japhet Ruto, a journalist at TUKO.co.ke, has more than eight years of experience covering financial, business, and technology topics, providing insights into Kenyan and global trends.
Kenya's public debt now stands at $11,511.72 billion (KSh 11.51 trillion), up from $11,491.98 billion (KSh 11.49 trillion) in April 2025.
Source: Twitter
This is according to the latest data published by the Central Bank of Kenya (CBK) in its weekly bulletin, highlighting financial and monetary developments in the country.
What's the value of Kenya's domestic and external debt?
According to the report, Kenya's external debt rose from $5,327.88 billion (KSh 5.33 trillion) in April 2025 to $5,308.18 billion (KSh 5.32 trillion) in May 2025.
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At the same time, the value of domestic debt increased from $6,164.10 billion (KSh 6.16 trillion) to $$6,203.54 billion (KSh 6.2 trillion).
In the domestic market, banking institutions account for the largest share of loans accrued by the government (45.12%), followed by pension funds (28.82%), other investors (12.90%), insurance companies (7.24%) and parastatals (5.92%).
How can Kenya manage its high debt?
Tony Mwiti, a specialist in alternative economics, noted that Kenya has the option to print money as a backup plan to finance important areas of the economy, like unpaid bills and the establishment of mass jobs.
He suggested that currencies were initially printed and circulated into the economy before governments collected a portion through taxes.
"Throughout history, governments have printed money, distributed it in various ways, and then levied taxes on it. In areas like obtaining and stabilising the salaries of university lecturers, physicians, nurses, clinicians, and teachers who are always on strike because they are not paid their salaries and salary increases, currently structured non-inflationary money creation can be employed to strengthen our collapsing economy. Additionally, it can be used to help the national and local governments hire large numbers of young people for entry-level positions," Mwiti told TUKO.co.ke.
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What to know about Kenya's debt
- By the end of Ruto's first term in 2027, the Treasury predicted that the nation's debt would have increased to KSh 13.2 trillion.
- Busia senator Okiya Omtatah claimed that Kenya had paid off its debts and demanded full accountability.
- The government intends to borrow over KSh 900 billion in fiscal year 2025/2026.
What did the Treasury say about Kenya's debt?
John Mbadi, the Cabinet Secretary (CS) for the National Treasury, declared that Kenya is auditing its debt.
During the public discussion of the 2025/2026 budget, the CS promised taxpayers that the findings would be publicly accessible after the audit is completed.
Some Kenyans have disputed the figures, but Mbadi said the Treasury will provide more details if there are any differences.
Proofreading by Asher Omondi, copy editor at TUKO.co.ke.
Source: TUKO.co.ke
