Kenya’s Senate has intensified pressure on the National Treasury to account for the country’s surging debt, giving it 60 days to present a complete picture of legal obligations and financial risks tied to government loans.
Lawmakers expressed alarm over the lack of transparency in borrowing practices, stressing that comprehensive oversight is essential to protect the country’s fiscal health.
During a Thursday, March 12, 2026 session, the Senate Standing Committee on Finance and Budget demanded that the Treasury provide full details on all structured financial agreements, including the contracts, risk exposure, and long-term implications for the national budget.
“Concluding the deliberations, the Committee issued a 60-day ultimatum to the National Treasury to submit a detailed report covering the full risk profiles, contractual agreements, and fiscal implications of all structured financial instruments,” Part of the Parliament of Kenya statement read.
The committee, chaired by Mandera Senator Ali Roba, noted that this is the first time in four years the Senate has received such debt information, describing the delay as a breach of legal requirements.
Senators highlighted that with the nation’s debt reaching Sh12.2 trillion by December 2025, it is critical to understand the embedded risks in these massive loan agreements.
“Senators highlighted that while the country’s total debt reached 12.2 trillion shillings by December 2025, there remains a pressing need for the Senate to have a bird’s eye view of the legal and contractual risks embedded in these multi-billion shilling agreements,” the Parliament of Kenya statement read.
Senator Roba emphasized the need for transparency to ensure future fiscal space is protected. “This is the first time in four years that we are receiving information on the debt position contrary to the law. For me, the numbers are not alarming if you look at the economic performance of other countries. However, the National Treasury should submit this information so that we can safeguard the fiscal space for future generations,” he said.
Other senators echoed the call for total disclosure of all borrowing agreements. “The National Treasury should provide the Senate with total disclosure of these contractual agreements and legal frameworks so that we can have a bird’s eye view of the situation at hand,” Senator Eddy Oketch said.
Concerns were also raised over the growing domestic debt, which has climbed by Sh1.747 trillion, and the government’s reliance on high-cost commercial loans. The committee suggested exploring options for renegotiation or buybacks to reduce the interest burden on taxpayers.
Kisii Senator Richard Onyonka questioned the rationale behind securing some loans at high interest rates, despite cheaper alternatives from development lenders. “I wish that the National Treasury could tell us why they borrowed some loans at 14% while the African Development Bank’s rate is usually three to four percent. We need to renegotiate these same loans at lower interest rates,” he said.