Senators have overwhelmingly voted to increase the country’s debt ceiling from Ksh.9 trillion to Ksh.10 trillion.
On Tuesday afternoon, 27 Senators voted to approve the motion, with only three opposing votes, and no legislators abstained from voting.
After Members of Parliament (MPs) supported the motion on June 7, the Senate now rubber stamps Ksh.10 trillion as the country’s new debt ceiling.
Despite the majority’s support on Tuesday, the motion’s passage was delayed for more than a week due to opposing views from some members.
This occurred as the motion’s proponents lobbied for support to raise the ceiling by taming dissenting voices.
“The National Treasury committed in 2019 that the debt ceiling of Ksh.9 trillion will be enough until 2024. However a number of unfavourable events have taken place that have led to the depression of the ceiling,” he said.
While seconding the motion, Narok Senator Ledama Ole Kina stated that lifting the ceiling would allow the government to execute the fiscal year 2022/23 budget, which is set to begin on July 1.
The increased debt ceiling is expected to accommodate a fiscal deficit of Ksh.846 billion in 2022/23.
