On Monday, April 10th, the nation of Kenya admitted that it was facing a significant cash crunch. According to the Kenyan government, the shortage in cash was caused by the fact the country had failed to remunerate civil servants while also having to pay for loans. The cash crunch has led to the late payment of civil servants.
Kenya’s Deputy President Rigathi Gachagua held a press conference where he admitted the problem was largely due to the country’s loans maturing. “It is true we are having challenges when it comes to paying salaries, we are having challenges in giving money to governors,” Gachagua said, with blame for the issue placed on the previous government administration’s borrowing of money.
“We inherited a dilapidated economy, with empty coffers,” he said.
According to the Anadolu Agency, Kenyan economic experts have attributed the cash crunch to the government’s careless and lavish expenditure. This has led to the government’s failure to provide basic and essential services. Both the health and education sectors have witnessed non-payments that actively worry the populace. This has caused widespread outrage in a country that is already experiencing economic and politically related protests.
The nonpayment of civil servants exacerbates an already fragile state of affairs with one of the main points of contention that Kenyans are protesting over being the high cost of living. A lack of financial resources would cause further anger and despondency in the country.
Reports indicate salaries were not paid at both a national and county level.
Kenya’s Presidential Economic Adviser David Ndii spoke openly during a television interview on Monday, April 10th, saying, “The government is extremely wasteful, there is not a single day that I am not exasperated by just how wasteful it is but by how deliberate it is and how unbothered people are by it.”
LittleAfrica News has regularly covered Kenyan affairs from last year’s contested election to this year’s protest led by opposition leader Raila Odinga. Odinga has accused the current government of stealing the election and failing to resolve issues affecting Kenyans.