It will cost Kenyan taxpayers more than Sh97 billion to repay the first Eurobond

Repayments towards external debt are projected at Sh364.66 billion, up from Sh240.10 billion in current year

Treasury has set aside Sh78.303 billion to clear the first Sh75 billion portion of the debut Eurobond and a further Sh19.41 billion towards interest servicing of the entire facility.

Kenya borrowed Sh202 billion from international investors in June 2014 and a further Sh75 billion in December that year under a transaction known as tap sale.

Repayments towards external debt are projected at Sh364.66 billion in the year which ends June 2019 from Sh240.10 billion in current year, a growth of Sh124.56 billion.

Foreign debt

Statistics from the Central Bank of Kenya indicate that more than half of the country’s Sh4.88 trillion total public debt in March was foreign (Sh2.51 trillion).

President Kenyatta's administration has heavily relied on external debt to spur infrastructure development in the country.

This despite calls by Central Bank to cut on external borrowing and shift focus on Public-Private Partnership (PPP) and non-debt models for the financing of projects.

JOIN OUR PULSE COMMUNITY!

Unblock notifications in browser settings.

Eyewitness? Submit your stories now via social or:

Email: news@pulselive.co.ke

Recommended articles

Africa’s richest man Aliko Dangote seeks to raise an additional $1.1 billion to complete his refinery project by 2023

Africa’s richest man Aliko Dangote seeks to raise an additional $1.1 billion to complete his refinery project by 2023

8 African countries where Rihanna plans to launch her luxury Fenty Beauty products

8 African countries where Rihanna plans to launch her luxury Fenty Beauty products

Africa’s richest man Aliko Dangote poised to overtake another Russian billionaire Vladimir Lisin on Bloomberg billionaires list

Africa’s richest man Aliko Dangote poised to overtake another Russian billionaire Vladimir Lisin on Bloomberg billionaires list

Mzee Kibor's will made public, revealing how vast wealth and millions will be distributed

Mzee Kibor's will made public, revealing how vast wealth and millions will be distributed

Ini Edo posts new photos amid reports of welcoming a baby through surrogacy

Ini Edo posts new photos amid reports of welcoming a baby through surrogacy

Referee behind chaos at AFCON was rushed to hospital after match

Referee behind chaos at AFCON was rushed to hospital after match

5 African countries with the cheapest gas prices in 2022

5 African countries with the cheapest gas prices in 2022

Eddie Butita speaks on his fallout with Miss Mandi, offers her a job

Eddie Butita speaks on his fallout with Miss Mandi, offers her a job

Haiwezi, my wife is prettier - Omanyala turns down Huddah’s advances

Haiwezi, my wife is prettier - Omanyala turns down Huddah’s advances