David Ndii Forced to Clarify How Ruto Spent Ksh631 Billion in 3 Months
David Ndii, chairman of the Presidential Council of Economic Advisors, addressed the controversy surrounding President William Ruto’s alleged Ksh631 billion loans on Tuesday, April 2.
In response to a social media post, Ndii detailed on his X account the manner in which the government expended the funds it received from the World Bank and investors over the previous three months.
An accusation that the government had obtained Ksh631 billion in loans within the previous three months prompted Ndii to provide further clarification.
The head of state was immediately tasked with procuring Ksh233 billion via Eurobonds and an additional Ksh240 billion via Infrastructure Bonds.
Social media users in Kenya expressed worry regarding the dependence on debt to fund budgetary needs, which ran counter to the campaign message put forth by the current government.
Additionally, concerns arose in response to the government’s decision to obtain a Ksh158 billion loan from the World Bank, with repayment scheduled for April 30.
The Ksh230 billion acquired via the issuance of the new Eurobond was utilized to repurchase a portion of the Ksh310 billion Eurobond that was set to mature in June, as reported by Ndii.
The Ksh230 billion funds secured by the government in February of this year were utilized to repay the 2014 loan in full. Kenya is now obligated to repay the residual Ksh80 billion to complete the repayment.
A portion of the loan secured to assist in the construction of the Standard Gauge Railways (SGR) was repaid with Ksh65 billion, with an additional Ksh65 billion due for repayment in July of this year.
Additionally, according to Ruto’s economic advisor, the remaining sum was utilized to repay the government-issued Ksh70 billion infrastructure bond, which was intended to finance infrastructure initiatives within the nation.
The National Assembly was presented with a report on February 27, which unveiled that the administration of President William Ruto obtained an enormous Ksh223 billion in loans from external financiers in the span of five months.
The report indicates that the eleven loans were obtained from September 2023 to January 2024 and are scheduled to be repaid in multiple installments, with the final loan being repaid in 2053.
Additionally, the government obtained the loans in order to finance the implementation of initiatives designed to increase employment, improve water supply, and develop urban infrastructure.
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David Ndii Forced to Clarify How Ruto Spent Ksh631 Billion in 3 Months
