Wanjigi warns debt crisis could cripple Kenya until 2040

Safina Party leader Jimi Wanjigi has warned that Kenya’s debt burden will continue to strain the economy until at least 2040 unless the government takes urgent action.

Speaking on Saturday, May 16, 2026, Wanjigi said most of the money collected from taxpayers goes directly to debt repayment, leaving little for development or essential services.

“Ile pesa yote huyu mjamaa anaokota kutoka sisi, pesa yote inaenda kulipa madeni,” he said. “So, hana hela, ile hela unaskia wanaiba, wanatembea nayo, wanampatia mapromises… kila kitu anakopa.”

He argued that the government’s heavy reliance on borrowing has created a cycle that is difficult to break. According to him, Kenya is already spending trillions of shillings each year on debt servicing, and the figure continues to rise.

“Na ujue mwaka huu ni 2.4 trillion tunalipa kwa madeni,” Wanjigi said. “Mwaka ujao 2026/27 ni 2.6 trillion. 2027/28 ni 2.8 trillion. Hiyo mwenendo labda itaisha in the year 2040. Haiendi mahali.”

Debt pressure on budget

His remarks came as the National Treasury tabled a Ksh4.8 trillion budget for the 2026/27 financial year, which faces a Ksh1.11 trillion deficit. Debt servicing and pensions will take about Ksh1.5 trillion, with domestic interest payments alone reaching Ksh986.7 billion – more than the entire education budget of Ksh668.3 billion.”

Overall, interest payments exceed Ksh1.25 trillion, showing the scale of pressure on public finances. Development spending also remains below the legal requirement, with the ratio falling to 29 per cent, below the 30 per cent threshold set by law.

Government data shows Kenya’s public debt remains above 65 per cent of GDP, well above the 55 per cent statutory ceiling. The Treasury has projected a slow decline over the medium term, but levels remain high.

Wanjigi said the situation will not change even if leadership changes in future elections.

“Ata Jimmy akiwa Rais, atakuta hiyo deni hapo,” he said.

He added that the debt burden is forcing the government to borrow even for basic operations, reducing funds available for health, roads, agriculture, and other key sectors.

His comments come at a time when global oil prices have risen sharply due to geopolitical tensions, pushing inflation higher and increasing pressure on household budgets.

The government, however, maintains that reforms such as increased domestic savings through the National Social Security Fund (NSSF) and ongoing talks with the International Monetary Fund (IMF) will help stabilise the fiscal position over time.