Kenyans borrow trillions from Fuliza, Chamas and Shylocks as they complain against the government
Controversial political analyst Mutahi Ngunyi has weighed in on the recent debate over the country’s debt crisis.
Ngunyi slammed Kenyans for asking the International Monetary Fund (IMF) to cancel the 255 billion shillings loan he approved earlier in the week to help with the Covid-19 response, adding that they were borrowing much more.
Speaking to Twitter, Ngunyi hinted that by the end of 2022, Kenyans would have borrowed double the amount the IMF lent the country, and therefore called on people to end the hypocrisy.
“By Christmas, Kenyans will have borrowed double what the IMF lends us. And they will have borrowed it from ONE SOURCE: Fuliza. If you ADD Saccos, Shylocks, MFIs and Chamas (Forget BANKS), they will have borrowed billions. Are they stupid? NO. They know borrowing is a good thing, ”Ngunyi tweeted.
By Christmas, Kenyans will have BORROWED double what the IMF lends us. And they will have borrowed it from ONE SOURCE: Fuliza. If you ADD Saccos, Shylocks, MFIs and Chamas (Forget BANKS), they will have borrowed billions. Are they stupid? NO. They know that borrowing is good
– Mutahi Ngunyi (@MutahiNgunyi) April 7, 2021
It comes as part of Kenyans have taken to Twitter to castigate the government, especially the Jubilee administration for its insatiable appetite for loans which has since plunged the country into debt.
According to the 2021 fiscal policy statement, Kenya’s public debt as of June 2020 stood at 7 shillings. 06 trillion, or 65% of GDP.
In addition, the NCBA financial report released on Monday last week found that Kenyans took a total of 432 billion shwari and Fuliza loans, averaging 1.18 billion shillings per day. The total figure has increased by 30% from 330 billion shillings in 2019.
Further analysis by the Communications Authority also revealed that Kenyans borrowed an average of 967 million shillings from Safaricom Fuliza’s overdraft facility during a six-month period ending June 31, 2020.
For most of the past week, Kenyans have taken to the IMF’s Facebook page to declaim and urge them to cancel the 255 billion shillings loan that had since been approved, saying it would be mismanaged and end up ending up in the pockets of a few individuals.
The conversation is now all the rage on Twitter under the hashtag #stoploaningkenya with a petition signed by over 100,000 Kenyans asking for the loan to be canceled.
Addressing the same on Monday, Treasury CS Ukur Yatani said the loan would be helpful in helping the country respond to Covid-19 and economic recovery.
Yatani further revealed that without IMF support, the country would have had to cut spending on investment and social programs.
“Equitable and affordable access to the vaccine is essential and help from the international community is urgently needed,” said Yatani. Star.
He added: “This will help create employment opportunities, reduce the digital divide, enable social safety nets to better reach the most vulnerable and address the climate challenges that are shaking the region.
The conversation has since plunged social media into a frenzy with people expressing mixed reactions. For example, one section wants the IMF to follow up on its petition and cancel the loan, while others demand government accountability and the election of good leaders.
Here are some reactions from Twitter:
– Ngari’s daughter. (@Marion_Ngari) April 7, 2021
The failure directed at the IMF is TOTALLY BAD! It is a classic illustration of collective ignorance! #IMFStopLoaningKenya
– Lord Abraham Mutai (@ItsMutai) April 7, 2021
GOVERNOR JAKAKIMBA will NOT sign the #IMFStopLoaningKenya Online petition: we need to agree on the first things first and be honest with each other – learn how to interview ALL leaders in advance. Stop using your tribal masks to vote, then turn around to “ complain ” on Twitter. Stop that!
– Silas Chepkeres Jakakimba (@silasjakakimba) April 6, 2021
– #NobodyCanStopReggae (@NdungiGithuku) April 6, 2021
These are the Kenyans at #IMFloan before you understand the loan, do you know the #ImpactOfTheLoans ? Why sign the petition? It only has 300 signs, check here https://t.me/joinchat/TMykepAXFmfGfZCZ#Samidoh #ThiefOfTheLoans #IMFStopLoaningKenya Samia Suluhu pic.twitter.com/V6v4pVpal8
– Hon. Junet Mohammed CBS (@Junet_Mohammed) April 6, 2021
The president compares our GDP to Japan when some places in the capital have unmaintained and unpaved roads.
Mr. President, If our debt were to support access to the whole country to all public facilities instead of looting 2 billion per day, we would support your actions. #IMFStopLoaningKenya https://t.co/j7P4UEeQnK
– Njoki Kimani_Pank (@Paulinekimani_N) April 6, 2021
– CARSON BRIAN🦅 (@carsonbrian_KE) April 7, 2021