Kenya is set to implement a fully automated external debt payment platform under the Treasury Single Account (TSA) framework, marking a structural shift in how the government manages and executes its external debt obligations.
- •This integration allows debt payment instructions to be generated, approved, and executed electronically across institutions that previously relied on sequential, largely manual coordination.
- •While the reform does not alter Kenya’s debt levels or financing structure, it reshapes the administrative and governance mechanisms underpinning debt servicing.
- • Its impact will ultimately be measured by whether the system delivers more timely payments, clearer accountability across institutions, and stronger alignment between debt management, budgeting, and cash management functions.
According to Treasury officials, the platform integrates multiple core public financial management systems, including the Meridian Debt Management System, the Central Bank of Kenya’s exchange rates system, the Integrated Financial Management Information System (IFMIS), the Exchequer requisition process, and approval workflows at the Office of the Controller of Budget.
By linking debt records, budget controls, exchange rate data, and statutory approvals into a single workflow, the system is intended to reduce operational fragmentation and processing delays in external debt servicing. The platform has been developed under the Treasury Single Account architecture, which centralizes government cash management and is intended to improve control over public funds.
With Kenya’s external debt obligations remaining a significant component of public expenditure, the move to automate payment processes represents a technical but consequential change in how the state manages its liabilities.
