Kenya will have to borrow KSh1 trillion to run its government, this is according to President William Ruto.

Speaking to journalists on Sunday, June 30 evening, President Ruto said that although the decision to withdraw the controversial Finance Bill 2024 was what Kenyans wanted, the move will have far-reaching consequence.

“We have dropped the Finance Bill. What does that mean? It means we have gone back almost 2 years,” President Ruto said. “It means that this year we are going to borrow 1 trillion shillings to be able to run our government.”

Some of the “huge consequences” the Head of State listed was that the government will be unable to confirm the employment of the 46,000 Junior Secondary School teachers on permanent and pensionable terms.

President Ruto also said that rejecting the Bill meant that Government will be unable to raise the KSh2 billion that was allocated to support local farmers.

“It means we can not help our farmers get a return of KSh50 per litre of milk, we can not pay coffee farmers’ debts, we can not support the cherry fund, and we can not help Mumias farmers with their debts,” he said.

Initially, the Bill was intended to raise KSh346 billion (3% of GDP) in additional revenue. After public participation, however, the amendments made to the Bill, President Ruto says, reduced the figure by around KSh140 billion.

President Ruto announced Wednesday, June 26 that he had hid to the pressure from Kenyans to reject the Bill, following days of unrest and protests that saw protesters breach Parliament precincts and destroying property.