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Kenya’s debt servicing costs hit Sh942bn in first half
Kenya has, in recent years, relied heavily on borrowing to plug persistent budget deficits, driven by ambitious infrastructure programmes and recurrent expenditure pressures.
Kenya’s debt servicing costs jumped 44.1 percent in the first half of the current financial year, increasing pressure on public finances as repayments consumed more than 80 percent of all taxes collected over the period, new National Treasury data shows.
The government spent Sh941.6 billion servicing public debt in the six months ended December 2025, up from Sh653.5 billion over a similar period the previous year, marking a Sh288.1 billion increase.
