Kenya’s Parliament on Tuesday agreed to raise the debt ceiling to KSh10 trillion from the current debt ceiling of KSh9 trillion.
The Legislators approved the Public Finance Management (National Government) (Amendment) Regulations 2022 tabled by Leader of Majority Amos Kimunya.
The House approved the amendment made to the Public Finance Management (National Government) Regulations 2015 (principal regulations) in regulation 26(1), by deleting paragraph (c) and substituting the following paragraph: “(c) pursuant, to provisions of section 50(2) of the Act. The public debt shall not exceed shilling 10 trillion.”
The National Treasury in its Medium Term Debt Management Strategy 2022 estimates total public debt service as a proportion of Government revenue at 50 percent and 52.4 percent in FY2020/21 and FY2021/22 respectively with forecasts showing a further increase in FY2022/23 and FY2023/24.
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