Azimio Coalition Demands Transparency From Kenya Kwanza On Suspicious Borrowing

The Azimio Coalition, led by opposition leader Raila Odinga, has called for transparency and accountability from the Kenya Kwanza administration following a series of suspicious borrowing activities.

In a press release issued on Tuesday, June 20, Odinga highlighted several alarming features surrounding recent borrowing undertaken by the government, which occurred just days before the start of the new financial year.

He said that the Kenya Kwanza administration secured a staggering 213.4 billion Kenyan shillings (KSh) from local financial institutions in a single day last week.

The Azimio leader said the timing of the borrowing is questionable, taking place a mere 10 days before the commencement of the new fiscal year, set to begin on July 1, 2023.

Moreover, the borrowed funds were obtained at an exceptionally high interest rate of 15.84%.

Additionally, this single borrowing constitutes almost half of the total approved annual domestic borrowing of KSh438 billion for the year 2022-2023.

The Azimio Coalition Party has requested the Kenya Kwanza administration to provide clarification on several key concerns.

Firstly, the party demanded a detailed account of where the borrowed funds will be allocated, given the proximity to the new financial year.

Secondly, Odinga questioned the high interest rate at which the funds were borrowed, saying that it was “unconscionable” for the government to be paying such high rates of interest when there are other, more affordable options available.

Finally, the Azimio leader called on the Kenya Kwanza administration to be more transparent about its borrowing practices, saying that the public has a right to know how their tax money is being used.

The Kenya Kwanza administration has yet to respond to the Azimio Coalition’s demands.