Nearly half of Govt revenue spent on debt servicing, CoB reports
NAIROBI, Kenya, Jun 10 - More than four out of every ten shillings received by the government in the first nine months of the 2025/26 financial year went Kenya breaking news | Kenya news today |..
✨ Key Highlights
The Controller of Budget (CoB) has reported that nearly half of Kenya's government revenue during the first nine months of the 2025/26 financial year was allocated to servicing public debt, amounting to Sh1.35 trillion.
- Debt repayments constituted nearly 87 percent of the Consolidated Fund Services (CFS) expenditure, which totaled Sh1.55 trillion.
- The country's public debt stock has climbed to Sh12.82 trillion, 69.9 percent of GDP, significantly exceeding Parliament’s recommended threshold of 55 percent.
- The report also highlights persistent challenges with Sh465.87 billion in pending bills, impacting service delivery and project implementation.
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Public debt up nine percent to Sh12.82tn - June 2026
Kenya's public debt has surged by 9 percent to Sh12.82 trillion as of March 31, 2026, exceeding Parliament's recommended debt threshold. The Controller of Budget reported that nearly half of Kenya's government revenue during the first nine months of the 2025/26 financial year was allocated to servicing public debt, amounting to Sh1.35 trillion. This mounting debt servicing cost is exposing the nation to significant exchange rate risks for the Kenya Shilling. Separately, the Kenya Revenue Authority is preparing to pursue employers who have failed to remit over Sh100 billion in employee deductions for the Affordable Housing Levy.
