Joseph Isangura
Kenya’s Treasury Secretary, John Mbadi, voiced concerns over African nations’ growing reliance on foreign financial support.
Describing scenes of leaders queuing for assistance, he underscored what he views as an urgent need for the continent to address its own financial independence.
Mbadi’s remarks are part of a broader reflection on Kenya’s debt situation and fiscal policy amid rising costs associated with international borrowing. With many African countries experiencing mounting debt loads, such dependency has increasingly restricted their economic autonomy and placed them in a vulnerable position with global lenders. Mbadi shared that, during the meetings, he felt a sense of frustration in seeing leaders from resource-rich African nations spend time petitioning for financial aid moments he described as sobering for African economic sovereignty.
He further addressed these concerns directly with President William Ruto, emphasizing a vision for Kenya to strengthen its domestic revenue systems to reduce reliance on international loans. Mbadi has pointed out that Kenya’s debt accumulation has prompted policymakers to consider alternative fiscal approaches, including mobilizing local resources through efficient tax collection instead of depending solely on higher taxes or foreign credit. He has called for enhanced domestic revenue generation, which would lessen the country’s debt vulnerability and dependency on external bodies like the IMF.
In pursuit of this goal, Mbadi mentioned recent efforts by the Treasury to reform the Kenya Revenue Authority (KRA) and improve its capacity to manage local revenue collection. His strategy aims to establish financial sustainability without burdening citizens with new tax hikes—an approach that aligns with public calls for fiscal prudence and transparency, especially in light of resistance to recent tax legislation reforms like the 2024 Finance Bill
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By advocating for greater economic autonomy and proposing reforms to manage revenue more effectively, Mbadi’s comments reflect a broader policy shift intended to boost self-reliance in Kenya’s fiscal planning. His approach, he argues, could serve as a model for other African nations seeking to redefine their financial relationships with global institutions.
However, Mbadi acknowledged the complexity of entirely shifting away from external aid, noting that dialogue with international partners remains essential to support critical development projects, particularly in infrastructure and climate resilience
