A coalition of Kenyan non-governmental organisations has accused President William Ruto’s government of worsening economic inequality and driving the country deeper into debt, in a written briefing submitted to the head of the International Monetary Fund (IMF).
The briefing, presented to IMF Managing Director Kristalina Georgieva on Monday during the Fund’s annual meetings with the World Bank in Washington, D.C., criticised the Kenyan government for fiscal mismanagement and rising poverty levels.
“Kenya’s fiscal misgovernance has matured into a multi-dimensional risk system, where macroeconomic fragility, governance decay, and social instability reinforce each other,” the organisations wrote.
Ruto’s administration, which is currently negotiating a new financial programme with the IMF, has taken credit for averting a debt default. However, many Kenyans say the government’s heavy taxation, unchecked borrowing, and falling household incomes are worsening living conditions.
The civil society groups, operating under the umbrella organisation Okoa Uchumi—Swahili for “Rescue the Economy”—said the government’s economic policies have fueled “fiscal capture.”
“Borrowing and spending decisions are used to sustain political patronage networks rather than advance development priorities,” the briefing stated.
Ruto’s government has introduced several new taxes in the past three years, including a housing levy and mandatory contributions to a new national health scheme, arguing that the measures are necessary to fund economic transformation.
However, the activists said the tax hikes have increased hardship, particularly for low-income citizens, and accused the government of prioritising political interests over economic reform.
They urged the IMF and the World Bank to condition their financial support to Kenya on governance and accountability reforms, not only on meeting economic targets.
“Kenya’s fiscal crisis is not a temporary imbalance; it is the cumulative outcome of governance neglect and institutional erosion,” the groups added.
Chris Kiptoo, principal secretary at the Ministry of Finance, who is attending the meetings in Washington with other officials, told Reuters he could not comment on the civil society briefing as he had not yet reviewed it.
The IMF conducted a “governance diagnostic” in Kenya earlier this year to assess corruption and transparency issues. The Fund has said it expects to share its findings with the Kenyan government for review before the end of the year.
Source:Africa Publicity