Kenya raised its debt ceiling to Sh9 trillion just as yields on the Eurobonds it had floated abroad started declining. It is the complete antithesis of the popular view in the civil society, academia and within some leading economists’ circles. Before long, yellow ugali would be ‘sitting’ on one side of my small plate! Yet that is the whole purpose of debt (we borrow to smoothen short-term bumps and pay down debt when times are good). If there is a lesson Kenya needs to learn, it is how to protect ordinary people using debt.

Source: Daily Nation January 01, 2020 22:52 UTC