The Senate has endorsed the govenment’s bid to increase state borrowing to Sh9 trillion.
Thirty out of 37 lawmakers who were present in the House on Wednesday afternoon voted in favour of the motion.
A looming budget financing crisis had forced MPs to cede ground to the government’s demand to set the public debt cap to Sh9 trillion.
The government was stuck in its efforts to negotiate new loans amounting to Sh421.9 billion.
The loans in question are from various external sources namely African Development Bank (Sh94.2 billion), China (Sh86.9 billion), Japan (Sh83 billion), World Bank (Sh51 billion), AfD (Sh30.6 billion), South Korea (Sh15.9 billion), and Germany (Sh15.3 billion).
Others are IFAD (Sh12.4 billion), Middle East (Sh9.7 billion), France (Sh5.98 billion), Spain (Sh4.23 billion), European Investment Bank (Sh3.99 billion), Italy (Sh3.06 billion), Belgium (Sh2.83 billion), and Finland (Sh2.3 billion).
By The Star