CBK Supports Omtatah’s Odious Debt Petition, Urges Multi-Judge Bench to Hear Case
The Central Bank of Kenya (CBK) has thrown its weight behind Busia Senator Okiya Omtatah’s legal petition challenging Kenya’s ballooning public debt, a move that is likely to reshape the country’s financial accountability framework.
In a bold and unprecedented move, CBK confirmed through court filings that it supports the petition on “odious debt” brought forward by Omtatah. Odious debt refers to liabilities incurred by a government without the people’s consent and which do not benefit them—often associated with regimes accused of corruption or authoritarian rule.
“The Central Bank of Kenya (CBK) has officially backed our petition on ODIOUS DEBT. In court filings, CBK affirms that the petition raises substantial constitutional questions on illegal borrowing, debt mismanagement, and public finance abuse,” Senator Omtatah announced on Wednesday, June 4.
CBK Governor Dr. Kamau Thugge echoed these sentiments in court documents, supporting the empanelment of a multi-judge bench under Article 165(4) of the Constitution. The CBK joins Omtatah and other petitioners in urging the Judiciary to constitute an uneven number of judges to address what they describe as “contested issues of undoubted public importance.”
“Take notice that the governor, the Central Bank of Kenya, the 19th Respondent herein, shall support the 9th Respondent’s application dated 14 May 2025 and the Petitioners’ prayer for empanelment of a bench in the Application dated 24 April 2025,” the CBK stated.
The legal battle revolves around the handling of Kenya’s controversial Eurobond proceeds. Omtatah alleges that the funds were mismanaged, deposited into offshore accounts, and not channeled through the Consolidated Fund as required by the Public Finance Management Act and the Constitution.
The petition had originally been filed in 2015 during former President Uhuru Kenyatta’s administration, but was withdrawn and refiled in April 2025 to circumvent technical challenges that had stalled its progress for nearly a decade.
“After consultations and given the technical objections raised by the court, it has become untenable to proceed with this petition in the manner that it was. So we have withdrawn it tactically to avoid the cascading disaster that was before us,” Omtatah explained.
With CBK now aligning with calls for financial transparency and judicial scrutiny of Kenya’s debt practices, pressure is mounting on the state to account for past borrowing practices. The case promises to ignite fresh debate on fiscal justice, corruption, and constitutional accountability in the use of public resources.
As the Judiciary prepares to make a determination on the formation of the multi-judge bench, Kenyans and financial watchdogs across the globe will be keenly watching the outcomes of a case that could redefine how African nations handle public debt.
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CBK Supports Omtatah’s Odious Debt Petition, Urges Multi-Judge Bench to Hear Case