Securitization

In response to these concerns, Ndegwa is demanding comprehensive accountability and transparency from the government. He is requesting detailed information on all secured levies, the specifics of the loans, the identity of the lenders, and how the funds have been utilized. By raising these issues, Ndegwa is not only questioning the legality of the government’s financial maneuvers but also highlighting a broader debate over whether Kenya's current economic state justifies financially risky strategies that could burden future generations. The scenario underscores the critical need for transparent and responsible financial management in the face of the country’s debt management challenges. Hence, by using private entities and failing to fully disclose the terms of these deals, the government appears to have bypassed key constitutional principles of public finance, accountability, and public participation. This approach burdens future generations with long-term debt and undermines effective oversight, raising serious questions about the integrity of the country's debt management practices.

It remains imperative for both the executive and lawmakers to find the political will to push for judiciousness in debt management; thus, eliminating the danger of excessive and unproductive debt. The government of Nigeria must adopt responsible borrowing practices in order to arrive at a sustainable debt stock. As it stands, the Ways and Means advances facility may be prone to abuse if Presidents can easily approach the CBN for loans without repaying and transferring the burden to the average citizen. The AfSDJN recommends that the Tinubu administration only approaches the Central Bank as a “lender of last resort” in strict conformity with Section 38 (1) of the CBN Act. The Federal Government must devise more proactive ways of raising revenue to reduce such borrowing activities as it increases Nigeria’s debt servicing burden as highlighted. Convened by Afronomicslaw.org with the support of Open Society for Southern Africa, (OSISA), the AfSDJN's activities are tailored around addressing the threats that sovereign debt poses for economic development, social cohesion and human rights in Africa. It advocates for debt cancellation, rescheduling and restructuring as well as increasing the accountability and responsibility of lenders and African governments about how sovereign debt is procured, spent and repaid.