Kenya’s economy is now back on track, says President Ruto

President William Ruto has stated that his government has successfully revived Kenya’s economy which is now back on track.

Speaking in Naivasha, Nakuru County, on Wednesday February 21, 2024, the president noted that his government has made deliberate steps to manage the nation’s debt crisis.

“Upon assuming office, we committed to bringing our economy back on track by taking necessary measures, making necessary choices and outright sacrifices to raise revenues, reduce expenditure, and basically make sure that as a nation, we live within our means,” said Ruto.

Ruto added that the strategy has enhanced investor confidence which has also led to the appreciation of the shilling against the US dollar, from Ksh.162 to Ksh.142, consequently lowering the debt ceiling.

A section cabinet secretaries and other Kenya Kwanza elected legislators during a National Executive Retreat in Naivasha on February 20, 2024. Photo: William Ruto/X

“In turn, this has reduced our overall debt by Ksh.722 billion, and also reduced our debt service costs by Ksh.195 billion over the next 6 years, saving the country a total of Ksh.917 billion,” he said.

According to the Head of State, Kenya has been delisted from the nations that are at risk of defaulting on debt repayment.

“I can now confidently say Kenya is no longer on the list of the countries that run the risk of debt default,” he stated.

Additionally, Ruto expressed confidence that Kenya’s economy will continue growing at a faster rate.

He further explained that the country’s economy is on a trajectory that will create more jobs and more wealth, finance investment in public goods and services, and usher the nation into an era of inclusive growth.

The Head of State also stated that Kenya on February 20, 2024 paid Ksh.218.25 billion ($1.5B) of Ksh.291 billion ($2B) 2014 Eurobond that was scheduled to mature on June 24, 2024.

He explained that the successful execution of both the buy-back and the new bond issue demonstrate strong investor confidence in Kenya through the international capital markets.

Paying of the Eurobond was also seen as a vote of confidence in the government’s overall economic management, particularly on public debt management strategy.