President William Ruto says the government will be forced to postpone some election pledges until the economy stabilizes.
The president noted that the country is in an unstable economic state as approximately 60 percent of the country’s revenue goes into paying debts.
“We will have to delay some of the projects we have. We will have to postpone some of them and relook at some of the interventions. I have seen reports that we have slowed down on the trips abroad and many of the other things and make sure that we are removing them first from our budget,” he said.
“I will not be the president that will continue the journey of taking our country into debt. It is going to be a difficult choice, but I don’t see an option. We just have to make those choices and we are going to rationalize the budget and relook at what else we can do even next year,” said Ruto.
The borrowing rate will be reduced to 10 percent compared to the previous administrations borrowing which was at 14 percent.
“I have also given instructions to the ministry of finance that yes, we will go to the market and if we find that in the market, we cannot find money at 10pct, we will go back and relook at other sources. It is not possible for us to borrow at beyond 10 pct. The last borrowing that we did was 14 percent, that is unacceptable.” added the president.
This comes at a time that the president is preparing for the launch of the hustler fund on 1st December.
Ruto needs Ksh2.67 trillion to actualize pre-election promises.
The country is currently on a debt ceiling of 10 trillion which the member of parliaments increased in June.
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