- Treasury to bail out Kenya Power and other government firms
- Interior Secretary ordered a financial audit of Kenya Power
Kenya’s Treasury has agreed to bail out the state-owned power utility Kenya Power and other state-owned firms in the 2022 financial year. Kenya Power has been the subject of government investigations in the past few months, resulting in Kenya’s Interior Cabinet Secretary Fred Matiang’i ordering the firm’s financial audit.
The Treasury Department has stated that the bailout will support the economic recovery for the firms involved. In addition, the Treasury Department organised a three-day public hearing to consider sectoral budget proposals for the 2022 Budget Bill.
Kenya Power is on the brink of bankruptcy, with operating costs rising faster than revenue, exacerbated by elevated financing costs and system losses, which hit KSh15.99 billion for the year through June 2020.