Kenya’s public debt has surged to an unprecedented KSh 11.5 trillion as of May 2025, reflecting a staggering KSh 951 billion increase in just eleven months — from KSh 10.56 trillion in June 2024.
This alarming rise demonstrates the mounting pressure on the country’s borrowing appetite. A breakdown of the debt reveals a sharp increase in both domestic and external obligations: domestic debt now stands at KSh 6.20 trillion, while external debt has jumped by USD 500 million in just two months, reaching USD 41.07 billion (KSh 5.3 trillion).
The pace of borrowing has drawn sharp scrutiny in the country. For context: Mwai Kibaki borrowed an average of KSh 180 billion per year, Uhuru Kenyatta averaged KSh 600 billion annually, but President Ruto has borrowed KSh 951 billion in less than a year.
Critics argue that unlike previous regimes — whose loans at least funded infrastructure and social programs — Ruto’s borrowing campaign has produced no visible gains: no new industries, no job creation, and no food relief.
Instead, public frustration is rising over what many view as lavish and misplaced spending — from extravagant foreign trips to cosmetic “faith events” at State House.
Even more concerning is that President Ruto campaigned on a platform of fiscal discipline, promising to curb borrowing. Less than a year into his term, however, the country is deeper in debt than ever.
“The country is being auctioned to feed greed,” said one Nairobi-based economist on X. “We’re sinking, and no one is throwing us a rope.”
With the cost of living rising, taxes ballooning, and public services declining, many Kenyans are now asking: Where is the money going?
The growing dependence on borrowing to fund government operations is straining the national budget. Debt servicing is consuming a significant share of revenue — diverting funds from key sectors like healthcare, education, and infrastructure.
Experts warn that without a robust, long-term debt management strategy, Kenya risks currency depreciation, rising inflation, and even a sovereign debt crisis.
