LSK President Rejects Appointment to Audit Kenya’s Debt, Calls it Unconstitutional

LSK President Faith Odhiambo has made headlines after rejecting her appointment by President William Ruto to be a member of the independent task force to audit Kenya’s debt. Odhiambo stated that the appointment was unconstitutional and a usurpation of powers by the head of state, as the mandate for such audits rests with the Auditor General’s office.

The Law Society of Kenya (LSK) has backed Odhiambo’s decision, with the organization stating that neither their President nor any of their members will accept appointments or participate in the task force formed by President Ruto. LSK emphasized the importance of upholding the Constitution and allowing the Auditor General to perform her constitutional duties without interference.

In response to the formation of the task force, LSK called for the Public Debt Management Office to provide details of public debt to the Auditor General for forensic audit, rather than appointing a separate task force. The organization highlighted the constitutional mandate for the Auditor General to audit public debt and the need to protect public resources.

President Ruto formed the task force to serve for three months, with its secretariat based at the National Treasury. The team is tasked with reconciling loan proceeds, assessing the adequacy of safeguards in the Public Finance Management framework, and recommending changes to strengthen the governance of the country’s public debt management system.

With Kenya’s public debt growing rapidly in recent years, reaching over Sh10 trillion today, President Ruto emphasized the need for fiscal consolidation and alternative sources of financing for the country’s development needs. The debt burden relative to the economy has also risen above the prudential limit, prompting the need for a debt restructuring plan.

The rejection of Odhiambo’s appointment and the stance taken by LSK highlight the importance of upholding constitutional mandates and ensuring transparency in public debt management. The debate over the audit of Kenya’s debt is likely to continue as stakeholders navigate the complex financial landscape of the country.