Kenya's Rising Debt Burden: A Looming Crisis MP Ndindi Nyoro Warns of Economic Debt is unsustainable

 By Bruno Aero

Staff Writer & Jounalist

Family Media

15,Sept,2025 6.59 Pm

THE SUPER MP AND KIHARU MEMBER OF PARLIAMENT ON A WAKE CALL FOR DEBT CRISES

Speaking during the press briefing in a Nairobi Hotel, The Kiharu Member of Parliament MP Hon, Ndindi Nyoro has sounded the alarm over Kenya's growing public debt, warning that the country is on the brink of defaulting on its obligations. With Kenya's debt standing at Sh11 trillion, Nyoro cautions that unchecked borrowing is crowding out the private sector and weakening the economy.

The Debt Conundrum

Hon, Ndindi Nyoro argues that the government's borrowing habits are unsustainable, with over 40% of revenue going towards loan interest repayment. He criticizes the government's aggressive tax regime, saying it has backfired on the economy. "Increasing taxes to get more revenue is a fallacy," he said. "You must end up distorting economic decisions. People stop spending and investing and that means even the little revenue you hoped to raise never materializes"

Privatization: A Potential Solution

Hon, Ndindi Nyoro emphasize and believes in privatization can help and transform the economy if done transparently and without vested interests. He further cites examples from Zambia, where leaders who spearheaded privatization later rose to the presidency, underscoring the long-term value of such reforms. However Hon, Nyoro noted  that Kenya's challenge lies in a trust deficit, which undervalues companies in the stock market.

A Call for Fiscal Discipline

 MP Hon, Nyoro insists that fiscal discipline, transparency, and fairness in privatization will determine whether Kenya escapes its debt trap or sinks deeper into economic strain. He proposes that privatization be structured to allow ordinary Kenyans to buy shares with clear limits, preventing political insiders and powerful investors from taking over public assets.

The Way Forward

As Kenya's debt burden continues to grow, Hon Ndindi Nyoro's came to a wake of call warnings to  serve as a stark reminder of the need for prudent economic management. With the country's debt servicing expected to consume nearly a quarter of the projected Sh4.2 trillion budget, it's clear that urgent action is needed to avoid a looming debt crisis.