National Treasury Cabinet Secretary John Mbadi has credited President William Ruto with steering Kenya clear of a disastrous sovereign debt default following severe economic distress inherited in 2022.
Speaking on Sunday, September 13, 2026, during President Ruto’s development tour of Kisumu, Mbadi revealed that the International Monetary Fund (IMF) had initially identified Kenya alongside five other African nations as being at high risk of debt default.
According to the Treasury boss, while the five other nations eventually collapsed under debt pressures and defaulted, Kenya managed to dodge a similar economic tailspin through deliberate liability-management strategies executed by the Kenya Kwanza administration.
“If it were not for you, this country’s economy would have fallen flat,” Mbadi directly told President Ruto. “We would have lost our credibility in the league of this continent.”
The National Treasury has put in place dynamic liability management plans extending up to 2032 to cover major maturing obligations and cushion the economy against debt traps.
Mbadi defended utilizing Article 223 of the Constitution to meet pressing debt repayments, stating he would continue using it whenever necessary to protect Kenya’s financial stability.
He pointed to the stabilization of the Kenya Shilling following heavy volatility (which previously hit ~Ksh160 against the US Dollar) as proof that forward planning prevented economic failure.
Mbadi also addressed broader development in the Nyanza region, asserting that the area had suffered historical marginalization over the past 60 years. He cited key investments under Ruto’s administration—such as the Sh4 billion upgrade of Jaramogi Oginga Odinga Teaching and Referral Hospital (JOOTRH) to a Level Six facility and the agreement with the World Bank for the 800km Lake Victoria Ring Road—as evidence of balanced economic focus.
Despite government assurances on debt management, Kenya’s overall public debt currently sits near the Ksh13 trillion mark, keeping fiscal management under close public scrutiny.
