Budget reality check: Moody’s warns Kenya of fiscal pain ahead


National Treasury CS John Mbadi holds the Budget Briefcase at Parliament, Nairobi, June 11, 2026. [Boniface Okendo, Standard]

President William Ruto’s administration faces a daunting fiscal reality check as it seeks to fund a record Sh4.82 trillion budget for the 2026-27 financial year.

According to Moody’s Ratings, the Kenya Kwanza administration’s planned belt-tightening is unlikely to materialise amid revenue shortfalls, spending rigidity, and weak debt affordability. 

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