In a landmark move aimed at enhancing transparency, the Kenyan government has initiated an audit of its Sh10.5 trillion national debt, marking the first time the identities of the country’s creditors will be made public. National Treasury Cabinet Secretary John Mbadi and Auditor-General Nancy Gathungu announced the audit, responding to rising public concerns about the nation’s debt burden.
“This process will provide Kenyans with a clear and detailed account of our liabilities,” said Gathungu. The audit will reveal the terms of loans and the interest paid, addressing demands for clarity on the nation’s financial obligations.
Mbadi emphasized the importance of the audit in shaping future budget processes, stating, “This will allow us to create a budget that is better aligned with our financial realities.” He added that the initiative aims to restore trust and set Kenya on a more transparent fiscal path.
During his vetting by the National Assembly, Mbadi raised critical questions about public awareness of debt, asking, “If Kenyans owe money, why can’t they know who they owe, how much, and the interest rates?” He pledged to link all debts to specific projects to demonstrate their value.
The audit comes as the Treasury prepares for the 2025-26 budget and is expected to enhance accountability in fiscal planning. “The findings will directly inform budget decisions, ensuring a more transparent process,” Mbadi concluded.
