Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

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mwalimu
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Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

Unread post by mwalimu » Thu Apr 20, 2017 1:52 am

Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

http://www.nation.co.ke/business/World- ... index.html


The duo of UHURUTO have got Kenya to its Knees

soon inflation is gonna sky rocket.
Please dont overborrow

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RV Heavy hitter!
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Re: Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

Unread post by RV Heavy hitter! » Thu Apr 20, 2017 6:31 am

US debt to GDP is currently at 104%, The highest it has been is 122% and lowest is 31%. Kenya's debt need to be increased to kitu 80-90% and managed vizuri to provide much needed credit rating. Debt is good. Without debt there is no credit. Wakenya wengini ni wajinga zaidi!
With Love, Marriage is the most amazing event in one's life, the foundation of happiness, joy and success. , RVhh!
Natukae kwa Undugu, Amani na UHURU Muigai.'' - The National Anthem of Kenya

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RV Heavy hitter!
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Re: Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

Unread post by RV Heavy hitter! » Thu Apr 20, 2017 6:40 am

Kenya's economy needs to be a sensible credit based economy so that wananchi can borrow and build nice homes and buy cars not huts, nyumba ya L T mabatis and bodabodas. Like wise, entrepreneurs, national and local Governments needs to step up borrowing and utilize funds to build economy and wealth. 90% of US homeowners are paying mortgage for 15-30 years, cars for 4-7 years. Nothing wrong with earning and paying things slowly over time. Loans built the western society and Developing world is also closing that gap rapidly due to loans....
With Love, Marriage is the most amazing event in one's life, the foundation of happiness, joy and success. , RVhh!
Natukae kwa Undugu, Amani na UHURU Muigai.'' - The National Anthem of Kenya

Vrtree
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Re: Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

Unread post by Vrtree » Thu Apr 20, 2017 7:16 am

Borrowing to fund infrastructure or refinance high-interest loans and such would yield High returns down the road. Borrowing to fund recurring expenditures, payroll and things that don't contribute to expanding the GDP will certainly skyrocket inflation, for instance. The many reasons why the borrowed money should go towards its intended purposes, otherwise the people end up paying much higher costs on debt end it also errodes greatly that purchase power. The current global economic environment seems to favor developing nations who want to grow their economies, you have too much money chasing too few resources in a financially more prosperous world so quality reigns
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mwalimu
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Re: Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

Unread post by mwalimu » Thu Apr 20, 2017 7:54 am

RV Hitter
............ Obviosulsy you havent heard of GREECE, Zimbabwe and Argentina

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Re: Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

Unread post by RV Heavy hitter! » Thu Apr 20, 2017 9:50 am

All the 10 richest countries have Debt hoovering around 80% to 250%-Japan, Singapore Germany, UK, US, France, Canada, Brazil....you name it. Poorest countries like Uganda, Burundi, Rwanda, Tanzania, Zambia, Haiti, Liberia, Ivory Coast, Mali....you name it are below 40% some are almost debt free but remains the poorest in the world. Debt is wealth producer but one needs stellar management to achieve it. If US or Japana and other advanced countries were to wipe their debt out, they will stop being first world overnight. Hell, if I pay all my credit cards, mortgage and recurring bills, I will become chokoraa overnight as well. Think hard! If Kenya can borrow more and crest at 80-90%, cut corruption to acceptable limits, gut Government size that results in huge wage bill and finally put functioning institutions in place, we could be Singapore in 5-10 years.
http://www.tradingeconomics.com/country ... ebt-to-gdp
With Love, Marriage is the most amazing event in one's life, the foundation of happiness, joy and success. , RVhh!
Natukae kwa Undugu, Amani na UHURU Muigai.'' - The National Anthem of Kenya

SamPele
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Re: Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

Unread post by SamPele » Fri Apr 21, 2017 6:28 am

Vrtree wrote:Borrowing to fund infrastructure or refinance high-interest loans and such would yield High returns down the road. Borrowing to fund recurring expenditures, payroll and things that don't contribute to expanding the GDP will certainly skyrocket inflation, for instance. The many reasons why the borrowed money should go towards its intended purposes, otherwise the people end up paying much higher costs on debt end it also errodes greatly that purchase power. The current global economic environment seems to favor developing nations who want to grow their economies, you have too much money chasing too few resources in a financially more prosperous world so quality reigns
Great post!! You have succinctly stated the issue with Kenya's debt. As mwalimu stated, this is a recipe for inflation whose effect will be felt in the coming couple of years. The framers of this constitution may not have intended to have half of total expenditure tied to salaries and remuneration but that is the current dilemma. It is unsustainable.

mwalimu
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Re: Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

Unread post by mwalimu » Fri Apr 21, 2017 7:33 am

Who is at fault .............. the framers of the constitution or corruption in Kenya

- what abut Salaries Commision................. why do they frame so big salaries
-- what about allowances when Civil Sufferers (servants) and state officers travel ................ most of them arn billions by justngling to travel. not working.

SamPele wrote:
Vrtree wrote:Borrowing to fund infrastructure or refinance high-interest loans and such would yield High returns down the road. Borrowing to fund recurring expenditures, payroll and things that don't contribute to expanding the GDP will certainly skyrocket inflation, for instance. The many reasons why the borrowed money should go towards its intended purposes, otherwise the people end up paying much higher costs on debt end it also errodes greatly that purchase power. The current global economic environment seems to favor developing nations who want to grow their economies, you have too much money chasing too few resources in a financially more prosperous world so quality reigns
Great post!! You have succinctly stated the issue with Kenya's debt. As mwalimu stated, this is a recipe for inflation whose effect will be felt in the coming couple of years. The framers of this constitution may not have intended to have half of total expenditure tied to salaries and remuneration but that is the current dilemma. It is unsustainable.

SamPele
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Re: Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

Unread post by SamPele » Fri Apr 21, 2017 1:31 pm

mwalimu wrote:Who is at fault .............. the framers of the constitution or corruption in Kenya

- what abut Salaries Commision................. why do they frame so big salaries
-- what about allowances when Civil Sufferers (servants) and state officers travel ................ most of them arn billions by justngling to travel. not working.

SamPele wrote:
Vrtree wrote:Borrowing to fund infrastructure or refinance high-interest loans and such would yield High returns down the road. Borrowing to fund recurring expenditures, payroll and things that don't contribute to expanding the GDP will certainly skyrocket inflation, for instance. The many reasons why the borrowed money should go towards its intended purposes, otherwise the people end up paying much higher costs on debt end it also errodes greatly that purchase power. The current global economic environment seems to favor developing nations who want to grow their economies, you have too much money chasing too few resources in a financially more prosperous world so quality reigns
Great post!! You have succinctly stated the issue with Kenya's debt. As mwalimu stated, this is a recipe for inflation whose effect will be felt in the coming couple of years. The framers of this constitution may not have intended to have half of total expenditure tied to salaries and remuneration but that is the current dilemma. It is unsustainable.
Both the Executive and Parliament are at fault. Uhuru's philosophy is like the above RV character,
only 60% debt?! USA's was at 130%. We surely can borrow more to pay ourselves!
By the way, our dear President presumably of sound mind just a couple of days ago signed into law, former CJ Mutunga retirement package (along with DPK's).
The perk's include, effective immediately...
- a monthly pension equivalent of 80 percent of his last salary (1.25 million KShs)
- a lump sum five times his last pay(approx.Sh6 million KShs)
- security, medical insurance and a diplomatic passport for himself and spouse.

And of course before we forget, he has no money or way of getting around, so...
- he also gets a saloon car and a four-wheel drive vehicle, both of which will come with drivers and fuel allowance equivalent to 15 per cent of the monthly pay of the serving CJ. :lol:

Does he now have enough allowances, how about food? I think he needs a monthly voucher to Nakumatt for say 400, 000 Kshs. Does that cover it? How about unlimited tickets via KQ to anywhere in the world.

http://www.businessdailyafrica.com/news ... 98-y74d0w/

mwalimu
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Re: Kenya DEBT is 60 per cent of GDP - Turbulent times ahead .... INFLATION

Unread post by mwalimu » Sat Apr 22, 2017 9:00 am

SamPele wrote:
By the way, our dear President presumably of sound mind just a couple of days ago signed into law, former CJ Mutunga retirement package (along with DPK's).
The perk's include, effective immediately...
- a monthly pension equivalent of 80 percent of his last salary (1.25 million KShs)
- a lump sum five times his last pay(approx.Sh6 million KShs)
- security, medical insurance and a diplomatic passport for himself and spouse.

And of course before we forget, he has no money or way of getting around, so...
- he also gets a saloon car and a four-wheel drive vehicle, both of which will come with drivers and fuel allowance equivalent to 15 per cent of the monthly pay of the serving CJ. :lol:

Does he now have enough allowances, how about food? I think he needs a monthly voucher to Nakumatt for say 400, 000 Kshs. Does that cover it? How about unlimited tickets via KQ to anywhere in the world.

http://www.businessdailyafrica.com/news ... 98-y74d0w/
Offcourse ............. isnt that the repayment he was entitled to for ensuring that the 2 Judges of supreme court are outed and out kabisa
- Rawal
- huyo mwingine wa KIDERO

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