A coalition of Kenyan non-governmental organisations (NGOs) has accused the government of worsening economic inequality and escalating national debt, in a strongly worded briefing submitted to International Monetary Fund (IMF) Managing Director Kristalina Georgieva on Monday.
The briefing, delivered on the sidelines of the IMF and World Bank Annual Meetings in Washington D.C., criticises President William Ruto’s administration for what it calls “fiscal mismanagement” and “governance decay,” arguing that Kenya’s financial policies are deepening poverty and undermining social stability.
Ruto’s government, which is currently negotiating a new financial programme with the IMF, has credited itself with preventing a potential sovereign default. However, Kenyans have increasingly voiced frustration over rising taxes, shrinking incomes, and persistent borrowing.
The NGOs, operating under the umbrella Okoa Uchumi (Swahili for Rescue the Economy), said in their submission that:
“Kenya’s fiscal misgovernance has matured into a multi-dimensional risk system, where macroeconomic fragility, governance decay, and social instability reinforce each other.”
They accused the administration of engaging in what they termed “fiscal capture,” alleging that borrowing and spending decisions are being used to sustain political patronage networks rather than address national development priorities.
Ruto’s government has introduced several controversial taxes over the past three years, including a housing levy and mandatory health insurance contributions, insisting these measures are necessary to finance its economic transformation agenda.
However, the civil society groups argue that these fiscal measures have disproportionately hurt ordinary citizens, particularly amid rising poverty and unemployment.
The NGOs called on the IMF and World Bank to tie future assistance to governance and accountability reforms, not just economic performance indicators.
“Kenya’s fiscal crisis is not a temporary imbalance; it is the cumulative outcome of governance neglect and institutional erosion,” the statement added.
Chris Kiptoo, Principal Secretary at the National Treasury, who is attending the Washington meetings with other officials, told Reuters that he could not comment on the NGOs’ report as he had not yet reviewed it.
The IMF, which earlier this year conducted a governance diagnostic mission in Kenya to assess corruption and fiscal transparency, has said it expects to share its findings with the government before the end of the year.
