A report has identified three individuals who may face charges related to the alleged theft of Sh140 billion from the Eurobond loan, potentially breaching article 206(1)(a) and theft laws.
According to the National Treasury, domestic interest payments have increased to Sh139.6 billion from Sh119 billion in the previous financial year. This rise in interest rate expenses suggests that the government has borrowed more money from the domestic market, contrary to their earlier statements.
Data from the Quarterly Economic Review Reports indicates that domestic borrowing increased from Sh201 billion in the 2013/14 financial year to Sh251 billion in the 2014/15 financial year. The question arises whether the National Treasury is claiming that borrowing from domestic markets decreased due to the Eurobond, while international costs rose.
It is unclear how domestic debt and interest rates could decrease due to the Eurobond, while interest expenses increase. The original post questions the benefits of the Eurobond, citing that if Sh141 billion of the Sh251 billion domestic financing was from the Eurobond, then domestic debt should only be Sh110 billion.
