‘We have enough resources,’ MP Ndindi Nyoro urges President Ruto to stop overborrowing

Kiharu Member of Parliament Ndindi Nyoro has sustained his criticism on the government’s borrowing spree, warning that it will be catastrophic for future generations.

The former Budget and Appropriations Committee Chair, who has been vocal about the looming debt crisis, advised that Kenya should rely on its abundant resources, which can be leveraged to generate money for the government.

Speaking in Kiharu on Thursday, Nyoro reiterated his past remarks that the country is in a debt crisis and that it was time for the government to utilise its assets.

“Let us look for other ways that we can raise resources for the country, because if we continue on the borrowing spree, those who carry the pain are our future generation. Those present at the time will have the threat because we will have put a burden that even Kenya cannot pay its debt, and the effects are catastrophic,” he said.

“We must be very prudent with the management of our debt, whether we like it or not. That is a very great threat that we face as an economy. If you look at the money that we are borrowing, I believe there is another better way we can manage our public resources without adding to Kenyans' huge debts in future. We are saying that while giving solutions.”

He added: “I gave a solution the other day, instead of borrowing money that we are borrowing, and these are the things I used to say even when I was serving in the previous position, government assets exist to make money for the government, they don’t exist as jewels.”

According to the lawmaker, the government has huge assets in the corporate sector, both private and public, which have huge monetary value.

He cited Safaricom Company, saying that the government has shares worth more than Ksh.300 billion, which can be sold to generate money needed for development instead of borrowing.

“For example, government assets in Safaricom are or going to more than Ksh.300 billion and it was more before. If we value an asset like Safaricom very well, the government can easily get the monies that we are borrowing externally by selling just a portion of Safaricom as an institution,” he noted.

“And the government can still continue influencing decisions at Safaricom through the regulators.”

The MP last week raised a red flag on the borrowing issue, warning that Kenya could soon join Africa's debt defaulters club.

Speaking at the Institute of Public Finance annual budget review, he said the country’s public debt—currently estimated at Ksh.11 trillion—was worrying, cautioning that any attempts by the government to renegotiate existing debt could prove to be even more catastrophic.

Data from the Central Bank of Kenya shows that as of December 2024, Kenya owed its lenders Ksh.10.9 trillion, of which nearly 54 per cent was owed to local lenders, while 46 per cent was external.

Over the last twelve years, the country’s debt has grown from just under Ksh.2 trillion to Ksh.11 trillion, according to government estimates.