Kenya public debt rises to KSh13.01 trillion

Kenya’s total public and publicly guaranteed debt rose to KSh13.01 trillion by June 2026, an increase of KSh1.2 trillion from the KSh11.81 trillion recorded in the previous financial year. National Treasury Principal Secretary Chris Kiptoo presented these figures to the Departmental Committee on Finance and National Planning.

The debt structure has shifted, with domestic borrowing now accounting for 56 per cent of the total debt, while external loans comprise 43.7 per cent. This represents a reversal from the previous year when external debt was higher than domestic obligations.

Debt servicing remains a significant fiscal pressure. During the period, external debt service obligations totaled KSh716.1 billion, consisting of KSh504.3 billion in principal repayments and KSh211.8 billion in interest payments. The Treasury noted that while it met 100 per cent of its debt service obligations, the rising debt and outstanding obligations have constrained the government's fiscal space and capacity to fund other priorities.