A situation where a country’s debt is so large that all new revenue goes toward repayment, leaving no room for economic growth.
This leads to:
slow business activity
liquidity shortages
high taxes
unemployment
weak domestic demand
Kenya is currently in a severe debt overhang cycle.
Kenya’s huge national debt is a major reason businesses are struggling.
Debt repayment is swallowing almost all tax revenue, leaving very little money circulating in the economy. Even though macro indicators like inflation, reserves, and exchange rate are improving, these gains don’t put money in people’s pockets.
With government spending reduced, suppliers unpaid, taxes raised, and loans expensive, the private sector is suffocating. This is called a debt overhang, and it directly slows down business activity and household purchasing power.
Uhuru destroyed this country by borrowing like a madman . It’s even a respect how ruto is holding the economy . Fala kama @Landlord the cocksucker ni mtu Hana akili
Btw, I remember the first time I paid attention to a budget reading was after NARC took over . After budget was red, the finance minister I shockingly heard that they had enough for 60% of the budget and they were HOPING donors would chip in the rests.
I had never felt so much shame in my life. All along I used to believe kenya was a superpower because of endless nyayo shitheads propaganda.
Yani tunategemea mzungu atuchangie. Recently I heard a minister say wanangojea donors wajazilie budget, and I had PTSD from the first time I heard. Tumerudi kuwa warambi ya matako ya walami