{"id":5389,"date":"2019-09-18T10:23:33","date_gmt":"2019-09-18T07:23:33","guid":{"rendered":"https:\/\/africasustainabilitymatters.com\/?p=5389"},"modified":"2026-01-11T05:30:33","modified_gmt":"2026-01-11T05:30:33","slug":"why-kenya-is-trapped-in-a-debt-spiral","status":"publish","type":"post","link":"https:\/\/rayscohosting.best\/ASM\/2019\/09\/18\/why-kenya-is-trapped-in-a-debt-spiral\/","title":{"rendered":"Why Kenya Is Trapped In A Debt Spiral"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><strong><em>By Otiato\nGuguyu<\/em><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">From\neffecting jobs cuts to tame a worryingly ballooning wage bill to repaying\nexisting loans, Treasury bureaucrats have considered a raft of options to try\nand stabilize the country\u2019s debt position.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Over\nthe past five years, the public wage bill has jumped 61 percent to Sh604.33\nbillion as at 2018 compared with Sh374.94 billion in 2013, according to the\nEconomic Survey 2019.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">On the\nother hand, servicing Kenya\u2019s debt has grown from Sh113 billion to Sh460\nbillion, a 307 per cent jump or fourfold increase.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">These two discretionary spendings (meaning they have to be met before anything else is done in the country) are taking up all the revenues raised by the Kenya Revenue Authority (KRA) since the growth of debt is multiple times higher than an increase in revenues.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The\ntaxman\u2019s total ordinary revenue collection in 2018 stood at Sh1.83 trillion, up\nfrom Sh974.42 billion in the 2013\/14 fiscal year &#8211;underlining the mismatch\nbetween collection and the pilling pressure from wage bill and debt servicing\u2026<a href=\"https:\/\/www.businessdailyafrica.com\/datahub\/Why-Kenya-is-trapped-in-a-debt-spiral\/3815418-5276600-7vvddcz\/index.html\">Read\nmore&gt;&gt;<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Otiato Guguyu From effecting jobs cuts to tame a worryingly ballooning wage bill to repaying existing loans, Treasury bureaucrats have considered a raft of options to try and stabilize&hellip;<\/p>\n","protected":false},"author":3,"featured_media":5390,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","pagelayer_contact_templates":[],"_pagelayer_content":"","_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[101],"tags":[],"class_list":["post-5389","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-international-news"],"_links":{"self":[{"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/posts\/5389","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/comments?post=5389"}],"version-history":[{"count":0,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/posts\/5389\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/media\/5390"}],"wp:attachment":[{"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/media?parent=5389"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/categories?post=5389"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/tags?post=5389"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}