The High Court has directed that it will deliver its ruling on June 25 this year in a case filed by several citizens, including Busia Senator Okiya Omtatah.
The petition seeks to declare loans borrowed during the tenure of former President Uhuru Kenyatta as illegal.
The developments came after the International Monetary Fund (IMF) applied to be allowed to exit the case, arguing that it has an immunity protection signed with Kenya in 1963, which shields it from legal action in Kenyan courts.
The petition, led by Omtatah, challenges the legality of approximately Ksh6.95 trillion in public debt, arguing that a significant portion qualifies as ‘odious’ and should not be borne by taxpayers.
During the session, the court adjourned the substantive hearing to first address multiple temporary applications, including attempts by key respondents to either dismiss the petition entirely or remove themselves from the proceedings.
The Attorney General (AG), supported by the National Assembly, argued that the matter is premature, citing a directive for a special audit by the Office of the Auditor-General of Kenya (OAG) into the country’s debt.
The State contends the court should wait for the audit outcome before proceeding.
Former Auditor-General Edward Ouko and former Controller of Budget Agnes Odhiambo also sought to exit the case, arguing they enjoy personal immunity for actions undertaken in good faith while in office.
Current office holders, Auditor-General Nancy Gathungu and Controller of Budget Margaret Nyakang’o, maintained that only their constitutional offices, not they as individuals, can be sued.
Although the petitioners had filed responses and were ready to proceed, several respondents indicated they needed more time to reply to rebuttals, prompting a request for additional days to prepare submissions.
The court directed all parties to file any further responses, including affidavits and written submissions, within seven days, setting the stage for a ruling on the applications on June 25, this year.
If the Attorney General’s application succeeds, the case could be dismissed without ever being heard on its merits; however, if it fails, the court will proceed to examine the substantive claims challenging the legality of Kenya’s public debt.
At the heart of the petition are allegations that between 2014 and 2024, billions were borrowed outside the law, including Eurobond proceeds allegedly not tied to development projects, not captured in appropriation laws, and in some cases routed outside the Consolidated Fund.
The petitioners argue that such borrowing violates the Constitution and financial statutes, and invoke the ‘odious debt’ doctrine, insisting that citizens should not be compelled to repay loans incurred unlawfully or for private gain.
The case names 22 respondents, including former President Uhuru Kenyatta, National Treasury officials, and international lenders, and seeks to have individuals held personally liable for the disputed debt under constitutional provisions on accountability-Kenyans.co.ke.