Kenya Government’s total outstanding pending bills amounted to KSh 539.9 billion as of 31st December 2023.
- According to a Quarterly Economic and Budgetary Review, National Treasury said these pending bills were mainly made up of KSh 448.4 billion (83.1%) for State Corporations.
- Ministries, State Departments, and Other Government Agencies owe KSh 91.5 billion (16.9%).
- State Corporations’ pending bills include payment to contractors, projects, suppliers, unremitted statutory and other deductions, pension arrears for Local Authorities Pension Trust, and others.
The highest percentage of the State Corporations pending bills are owed to contractor/projects and suppliers. Ministries/State Departments and other Government Agencies’ pending bills constitute mainly historical pending bills. Treasury says that the Kenya Government policy on clearance of pending bills continues to be in force.
During the quarter ending December 2023, the Kenya Government paid KSh. 6.9 billion guaranteed debt on behalf of Kenya Airways. The payments are composed of KSh.5.5 billion as principal payments and KSh. 1.4 billion as interest.
Total disbursements (inflows) including Appropriations-in-Aid Aid amounted to KSh.105.0 billion against a target of KSh. 134.2 billion. The actual total disbursement comprised of KSh. 43.1 billion program loans and KSh. 62.0 billion Project Loans. The External repayments (outflows) of principal debt amounted to KSh 134.6 billion. The amount comprised of principal repayments due to bilateral sources, commercial institutions, and multilateral sources amounting to KSh 76.8 billion, KSh 30.3 billion, and KSh 27.5 billion, respectively.
- As of 31st December 2023, net domestic borrowing amounted to KSh 210.0 billion against a target of KSh 356.2 billion.
- The borrowing comprised KSh 172.4 billion from Non-Banking Financial Institutions, KSh 18.9 billion from the Central Bank of Kenya, KSh 16.2 billion from commercial banks, KSh 1.6 billion from Non-Residents and net domestic loan repayments receipts of KSh 0.9 billion.
- During the same period in FY 2022/23, the net domestic borrowing amounted to KSh 124.1 billion: KSh 171.2 billion from Non-Banking Financial Institutions, KSh 8.7 billion from Commercial Banks, net domestic loan repayments receipts of KSh 2.3 billion, and Net repayment of KSh 58.1 billion to the Central Bank of Kenya and KSh. 0.1 billion to Non-Residents.
Kenya’s gross public debt as of 31st December 2023 increased by KSh 1,930.9 billion to KSh 11,139.7 billion compared to KSh 9,208.8 billion as of the end of December 2022. The gross public debt comprised 54.7 percent external debt and 45.3 percent domestic debt. The increase in the public debt is attributed to external loan disbursements; exchange rate fluctuations; and uptake of domestic debt during the period.
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