Treasury denies taking secret Sh139 Billion Covid-19 loan

Brian Oruta

March 19, 2021 8:54 AM

The loan was allegedly borrowed to upgrade hospitals in the counties last year

Treasury Cabinet Secretary Ukur Yatani

Treasury Cabinet Secretary, Amb. Ukur Yatani has denied claims that the government borrowed Sh139 billion covid-19 loan secretly.

In a statement seen by Pulse Live, CS Yatani said that he did not enter into any agreement with any company named Kallo Inc, as stated in the report by Business Daily.

"NTP wishes to categorically state, that the Cabinet Secretary for the National Treasury and Planning did not enter into any loan contract for EUR 1,068,932,543, with a company by the name Kallo Inc., as claimed in the article and in the company's filings with the United States Securities Exchange Commission (SEC)," said the CS.

Ukur Yatani noted that the daily relied on a report purportedly revealed by SEC which was not true because there is no evidence that the commission made any such claims public.

"The article erroneously attributed the story to the SEC by claiming that it had "disclosed the deal between Treasury and Canadian firm Kallo Inc. over the multi-billion shilling deal to upgrade Kenya's health infrastructure.." There is no evidence that the SEC made such disclosure to the public, which raises questions as to the accuracy and veracity of the story," said the statement.

The Kenyan Treasury was said to have borrowed the amount secretly in June last year, to upgrade county hospitals and step up the fight against Covid-19.

In the deal, Belarus-based Techno-Investment Module (TIM) would provide financing for a project dubbed the Kallo Integrated Delivery System (KIDS).

Brian Oruta