Nairobi, June 16 -- Kenya's fiscal year 2026-27 Budget presents both an opportunity and a warning. With total expenditure projected at Sh4.8 trillion against expected revenues of approximately Sh3.7 trillion from ordinary taxes, appropriations-in-aid, and grants, the government faces a fiscal deficit of about Sh1.15 trillion.

This gap will largely be financed through domestic and external borrowing, adding to an already substantial public debt stock estimated at Sh13 trillion.

While borrowing remains a legitimate fiscal tool, excessive reliance on debt financing raises concerns about long-term economic stability, debt servicing costs, and fiscal sovereignty. Kenya must embark on deliberate structural reforms that reduce dependence on de...