Trend in the share of Kenya’s Total Public Debt Stock to GDP, across political regimes (1999 – 2018)

Post Date: 02 May 2019   |   Category: Debt   |   Hits: 800

The policies and strategies of political regimes have a significant bearing on the macroeconomic conditions of a country. This blog provides a brief assessment of the ratio of total public debt to GDP across Moi’s regime, Kibaki’s regime and Uhuru’s regime. Evidently as can be observed from the chart below, the trends of the debt-to-GDP ratio across these regimes portray different patterns. 

Source: Author’s compilation from various sources 

Number of the week: 15 percentage points

  • In the Moi’s regime debt-to-GDP ratio was generally high, it increased from 55% to 63% between 1999 and 2002. The key drivers of debt was due to the deficit financing.
  • Though Kibaki regime inherited high debt-to-GDP ratio, it worked to reduce the ratios which declined to 44% at the end of the regime, representing an overall decline of 19 percentage points
  • Uhuru’s regime has been witnessed with a gradual rise in the debt-to-GDP ratio, from 44% in 2013 to 59% at the end of 2018, representing 15 percentage points increase.