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House budget office wants changes in debt limit measure
Wednesday March 03 2021
By CONSTANT MUNDA
Summary
The Parliamentary Budget Office (PBO) wants lawmakers to change how Kenya calculates the public debt ceiling from numerical limit to one based on a ratio of economic output.
BPO the unit which advises members of parliament (MPs) on financial and economic matters argues that arbitrary setting and raising of debt ceiling based on a numerical limit is delinked from economic indicators like size of the economy
This comes at a time Treasury secretary Ukur Yatani has indicated he will be seeking approval from MPs to expand the debt limit from the current Sh9 trillion, just over a little over a year after the cap was raised from Sh6 trillion in October 2019.
In their upgrade, the Moody’s analysts said using the $519 million Tivity netted from
the sale of Nutrisystem to pay down debt has “materially” improved the company’s financial situation despite the impact of the COVID-19 pandemic on Tivity’s health care units. Debt ratios, they added, should remain stable in the next few quarters as the company’s looks to trim costs some more.
“Moody s expects the recovery in visitation will pick up in the later part of 2021 once a higher share of the public has been vaccinated and the coronavirus pandemic subsides,” the analysts wrote recently. “Gym visitation by seniors is nevertheless likely to remain below pre-pandemic levels because of apprehension about being in social settings. Moody s expects the company will focus on expanding its digital offerings to keep its members engaged while at home.”
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