Kenyan leader rules out more loans to pay workers

The president's main economic adviser assured the local media on Monday that salaries would be paid by the end of the month while urging the administration to reduce wasteful spending of public monies.

Kenyan leader rules out more loans to pay workers

Even as union groups vowed to strike over unpaid March salary, Kenya's President William Ruto insists the nation will not borrow money to pay civil personnel.

President Ruto attributed the pay delays to the nation's massive public debt, some of which are due to mature this month.

He said that taxes collected by the revenue body will be used to pay the salaries.

This week, at least two worker umbrella organizations have sent out notifications to stop working if their dues are not paid.

Kenya's state debt is currently equal to 65 percent of its GDP.

The nation requires more than $420 million (£338 million) per month to cover civil servant salaries and pensions.

This announcement comes just after the World Bank and the IMF independently warned that sub-Saharan Africa was entering a new financial crisis and that many nations were at a high risk of experiencing debt difficulty.