Sat Sep 14 03:35:55 UTC 2024: ## Kenya Launches Audit of National Debt, Unveiling Creditors for the First Time
**Nairobi, Kenya** – In a landmark move aimed at increasing transparency and accountability, the Kenyan government has initiated an audit of the country’s multi-trillion national debt. This audit, led by Auditor-General Nancy Gathungu, will for the first time publicly disclose the identities of the country’s creditors.
The decision comes in response to growing public concern and skepticism regarding the country’s debt burden, currently estimated at Sh10.5 trillion. National Treasury Cabinet Secretary John Mbadi, who pledged to make debt details public, has stated that the audit will provide Kenyans with a clear and detailed account of the country’s liabilities.
The audit will delve into the terms of the loans, including interest rates, and will also investigate whether borrowed funds are directly linked to specific projects, ensuring value for money. The government hopes this information will guide future budgeting decisions, creating a more sustainable financial plan.
“This will allow us to create a budget that is better aligned with our financial realities,” said Mbadi. “We must work on linking projects to loans. We cannot borrow loans for general budgetary support.”
The audit process, which will be conducted in collaboration with Treasury’s Public Debt Management Office, is expected to be completed before the 2025-26 budget preparation process begins. The government hopes the findings will directly inform budget decisions, enhancing transparency and accountability.
This initiative marks a significant step towards restoring public trust in the government’s handling of public finances. It also signals a shift towards a more transparent and accountable fiscal path for Kenya.
First Piper 