According to the 2021 budget, Kenya’s public debt stood at SHS 7.06trillion which is 65% of GDP.
Coming from a place where we need to supplement with external borrowing, Kenyans have always been optimistic of what that money would achieve and what it means for our economic.
If utilized accordingly, this public debt would increase our economic growth and investment. However, the more the debt, the higher the tax rates shoot.
The last budget reading has seen prices for everyday commodities skyrocket and taxes imposed on farmers who have been making a living from these products from time memorial.
The burden wouldn’t feel this heavy on wanjiku if the money borrowed and taxes raised was put into good use. But with money scandals all over and only a small chunk of the money set aside to help wanjiku getting to its destination, its the rich getting richer and wanjiku poorer.
Since 2018, the country has lost a lot of public funds and the perpetrators are never brought to book. In that year alone, the country lost over 13billion to graft deals. In 2019 the same graft deals claimed 20billion of wanjiku’s money.
At this rate, very soon the country will have more share of debts than it can handle. The system has a way of protecting its own and this leaves the common mwananchi to pay for debts he never profitted from.
The bills keep rising, the debt keeps growing, and without a proper system to manage public funds and bring those who misuse it under the rule of law, more money will be lost, the taxes will go higher and life will become unbearable for Wanjiku.
