Global rating agency Moody’s has warned of possible downgrade of Kenya’s credit scores citing pressure from the country’s rising debts.
The agency said it had placed Kenya’s B1 rating on review for downgrade due to persistent deficits as high borrowing costs continue to drive government indebtedness higher, among other factors. Moody’s expects that Kenya’s government debt burden, which has risen to 56.4 per cent of GDP as of June — up from 40.5 per cent five years ago — will continue to rise due to persistently high primary deficits and borrowing costs.
