Nairobi, Aug. 24 -- Kenya's debt problem is no longer merely a technical matter for the Treasury. It has become a political economy question.

What kind of economy can Kenya build when an ever-growing share of public resources is committed to servicing yesterday's borrowing? Public debt had reached Sh12.86 trillion by April this year, equivalent to 69.4 per cent of the Gross Domestic Product (GDP), according to Treasury.

The more important question is not simply how much Kenya owes, but what the country is getting for the debt. Borrowing to finance productive infrastructure can generate growth and revenue.

However, borrowing increasingly to refinance existing obligations creates a vicious circle - borrow to repay, tax to borrow and borr...