Kenya's Central Government Debt (% of GDP), 1990-2022

Kenya’s central government debt as a percentage of GDP showed considerable variation between 1990 and 2022, influenced by both domestic economic policies and external shocks. The debt peaked sharply in 1993 at 61.64%, reflecting the economic turbulence following structural adjustments and governance challenges in the early 1990s. Subsequently, a steady decline was observed through the late 1990s, reaching 35.89% in 1998, driven by fiscal reforms and improved economic stability.

However, starting in 2015, the debt-to-GDP ratio began rising significantly, climbing from 45.83% to a high of 67.94% in 2022. This increase was largely attributed to ambitious public investment in infrastructure projects, combined with external borrowing. The COVID-19 pandemic exacerbated the debt burden, with 2020 recording 67.83% as economic activity slowed and healthcare spending surged. Kenya’s debt trajectory highlights the impact of policy choices and global events on fiscal sustainability.