Kenya should “curb the appetite for borrowing”, says the chairman of the budget committee

Adding details, Treasury Secretary

NAIROBI, Nov 10 (Reuters)The Kenyan government has decided to lower its lending rates, especially in the domestic market to stimulate lending to companiesthe chairman of of Parliament This was announced by the budget committee on Thursday.

PThe administration of resident William Ruto, who took over in mid-September, is on board revise his budget for this fiscal year to reduce spending by 300 billion Kenyan shillings ($2.47 billion).

“We need to curb our appetite for borrowing,” Ndindi Nyoro, the board’s chairman, said at a meeting to discuss the fiscal year 2023/24 (July-June) budget.

TThe revision is expected to bring the projected budget deficit for the current fiscal year down to 5.8% of GDP from the original 6.2%, the Finance Ministry said.

Economic growth is expected to rise to 6% next year, from an estimated 5.3% this year, Finance Minister Njuguna Ndung’u said at the same budget preparation meeting.

($1 = 121.7000 Kenyan Shillings)

(Reporting by Duncan Miriri; Editing by Jacqueline Wong and Janane Venkatraman)

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