EU APPROVES BREXIT EXTENSION UP TO JANUARY 31

European Council President Donald Tusk addresses media representatives at a press conference during a European Union Summit at European Union Headquarters in Brussels on October 18, 2019. EU has extended Britain exit deadline to January 31 in a plan that allows UK to leave earlier if its parliament ratifies Brexit deal.

By AFP

European Union members agreed Monday to postpone Brexit for up to three months, stepping in with their decision less than 90 hours before Britain was due to crash out with no divorce deal.

The next deadline for departure will be January 31 next year—although the other 27 capitals would allow an earlier date if London ratifies a withdrawal agreement before then.

"The EU27 has agreed that it will accept the UK's request for a Brexit flextension until 31 January 2020," the president of the European Council representing member states, Donald Tusk, tweeted.

"The decision is expected to be formalised through a written procedure," he said, after ambassadors met in Brussels to approve the extension.

According to a copy of the agreement seen by AFP, if Prime Minister Boris Johnson convinces the UK parliament to approve an amicable divorce accord before next year, Brexit could be on November 30 or December 31.

But in the meantime London must nominate a senior official to serve on the next European Commission and must agree that the withdrawal agreement it struck last month will not now be renegotiated, according to the EU text.

Leaving the ambassador's gathering, EU negotiator Michel Barnier said it had been a "short and efficient and constructive meeting," adding: "I'm very happy that a decision has been taken."

A delay could have been agreed last week, but Paris was reluctant, concerned it would do nothing to boost the chances of Britain deciding how to handle the end of its five-decade relationship with the EU.

Johnson had been pushing for a definitive break on October 31 after finally striking a withdrawal deal with fellow EU leaders at an October 17 summit.

But he has yet to persuade sceptical British MPs to ratify the accord, raising the spectre of a chaotic "no-deal" Brexit and severe economic disruption in the United Kingdom.

In the meantime, he is trying to break the logjam—and strengthen his tenuous grip on office—by demanding an early election to secure a parliamentary majority.

But the British opposition has been reluctant to deliver the two-thirds vote needed to approve a snap poll until the threat of a disorderly Brexit is off the table.

The expected decision to postpone Brexit beyond the end of the month would do this, but Paris wanted EU capitals to wait until the UK election timetable was clear.

On Monday, however, European diplomats told AFP they would wait no longer and would make a decision without further delay after Britain agreed it would not try to change the withdrawal deal.

"The conditions of the extension have been specified and reinforced, notably on the fact the deal is not renegotiable," a French diplomatic source told AFP in Paris.

Later Monday, Johnson was to ask the House of Commons to vote on a snap election, which he wants to hold on December 12 -- after MPs have had time to ratify his Brexit deal.

However he faces defeat on that move, as with his two previous election calls.

He needs the support of two-thirds of the 650 MPs, but does not have even a simple majority.

The Labour party dislikes Johnson's Brexit deal and says it will not back an election until his threat of leaving the EU with no deal at all is removed.

More than three years after Britons voted 52-48 percent for Brexit in a 2016 referendum, the country and parliament remain divided.

Johnson, a leader of the "Leave" campaign, took office in July this year vowing to take Britain out of the European Union on October 31 whatever happens.

But MPs rebelled against his threat to sever 46 years of ties without a deal and passed a law requiring him to seek a delay if they refused to accept his divorce terms.

KILLING THE LEADER MAY NOT BE ENOUGH TO STAMP OUT ISLAMIC STATE

By Ahmed Rasheed and Ahmed Aboulenein, BAGHDAD Iraq

The killing of Islamic State leader Abu Bakr al-Baghdadi is of considerable importance, experts believe, but the underlying reasons for his jihadist group’s existence remain and attacks in the Middle East and beyond are not likely to stop.

Baghdadi’s death at the hands of the United States is likely to cause Islamic State to splinter, leaving whoever emerges as its new leader with the task of pulling the ultra hardline group back together as a fighting force.

Whether the loss of its leader will in itself affect the group’s capabilities is open to doubt, analysts in the region say. Even if it does face difficulties in the leadership transition, the underlying ideology and the sectarian hatred it promoted remains attractive to many.

Where once they rode around in armored vehicles, brandished rifles, flew black flags and indulged in acts of spectacular cruelty, the Sunni Muslim militants are now prisoners or scattered stragglers whose leader was chased down in a tunnel during a raid by American Special Forces.

“Operationally it doesn’t affect much, they are already broken and globally their attacks have receded,” said Rashad Ali, resident senior fellow at the Institute for Strategic Dialogue, a London-based think-tank. “They are mostly concentrated in the Iraqi-Syria borderlands.”

“It doesn’t make much of a difference other than the symbolism,” he said. “If you think taking out one terrorist (matters) while failing to address the root causes that led this ideology to take hold, you are mistaken.”

But some of those grievances are very much on show today. Sunni Muslims in Iraq are angered at their treatment by a ruling Shi’ite elite they see as under the influence of Iran and the Iranian-backed militias that now roam their provinces unchecked.

In Syria, recruitment to groups such as Islamic State is encouraged by the killing of Sunnis by Syrian government forces backed by Iran and Russia.

Islamic State’s effectiveness arises from its members’ loyalty to its ultra-fanatical Islamist ideology, and this may not be much affected by the killing of its leader, said Fadhil Abu Ragheef, an Iraqi political analyst and security expert.

He said Islamic State’s 9-man Shura Council, or leadership group, was expected to meet and appoint a leader from among five candidates.

Among the front runners are Abu Abdullah al-Jizrawi, a Saudi, and Abdullah Qaradash, an Iraqi and one of Baghdadi’s right-hand men, also a former army officer under Saddam Hussein. Also mentioned is Abu Othman al-Tunisi, a Tunisian.

“The new leader will start working to pull together the group’s power by relying on new recruits and fighters who fled the prisons in Syria. He is expected to launch a series of retaliatory attacks for the killing of Baghdadi,” said Abu Ragheef.

It is possible that whoever takes over as the head of the group, which experts say has been beset by internal disputes, will cause it to splinter within months because he is unacceptable on grounds of nationality to some factions.

“For sure they will fight among themselves over resources. I predict the Iraqi faction will win because they have more money,” said Iraqi analyst Hisham al-Hashemi, an expert on jihadist groups.

A security source with knowledge of militant groups in Iraq said the killing of Baghdadi would splinter the group’s command structure because of differences between senior figures and lack of confidence among group members who were forced to go underground when the caliphate collapsed.

“We are aware that killing Baghdadi will not lead to the disappearance of Islamic State because eventually they will pick someone for the job,” the source said. “But at same time whoever follows Baghdadi will not be in a position to keep the group united.”

The new leader will attempt to restructure the group by encouraging followers to launch operations not only in Iraq but in other countries to raise morale among existing and new followers, the source said.

By franchising its name, Islamic State has attracted followers in Africa, Asia and Europe. Incidents such as one in London, where attackers used easily obtained weapons such as motor vehicles and knives, show that lack of organizational backing is not an obstacle.

In South East Asia, where Islamic State has spread its influence, officials believe the group’s ideas will have to be fought even after Baghdadi’s death.

“His death will have little impact here as the main problem remains the spread of the Islamic State ideology,” Malaysian police counter-terrorism chief Ayob Khan Mydin Pitchay told Reuters.

 “What we are most worried about now are ‘lone wolf’ attacks and those who are self-radicalised through the internet. We are still seeing the spread of IS teachings online. IS publications and magazines from years ago are being reproduced and re-shared,” he said.

In Iraq, where Baghdadi proclaimed his caliphate from the Grand al-Nuri Mosque in 2014, authorities have pursued a policy of taking out senior Islamic State figures as an effective way of keeping the group on the back foot.

Hashemi argues that more is needed.

“They have the ability to regroup. The way to stop that is through real fostering of democracy and civil society, truly addressing grievances, in short, creating an environment that repels terrorism,” he said.

“Killing leaders is definitely a good thing but it does not prevent their return, only creating such an environment does,” he added. - Reuters

FRESH UNREST ERUPTS IN CHILE DESPITE CABINET RESHUFFLE

Demonstrators protest against President of Chile Sebastian Piñera during his announcement of changes in his cabinet at Palacio de La Moneda on October 28, 2019.

By Ana Melgar Zuniga, SANTIAGO Chile

Chilean President Sebastian Pinera replaced his Cabinet Monday following days of violent protests that have paralyzed the country, seen the military return to the streets, and led to the deaths of at least 20 people.

According to Pinera's official Twitter account, the purpose of the change was to allow for open dialogue and justice in an attempt to solve the biggest political crisis since the country's transition to democracy in 1990. The move comes two days after the President asked all of his ministers to resign.

Pinera replaced eight key members of his Cabinet, including the Ministers of Interior, Finance and Labor, as well as the Secretariat of the Presidency, which is akin to the Chief of Staff.

Despite the reshuffle, thousands of protesters returned to the streets of the Chilean capital Monday, calling for Pinera's resignation and clashing with security forces in violent street battles.

A fire broke out on the corner of a main street in Santiago, engulfing clothing stores, a McDonald's and a medical center, according to CNN Chile. Police have responded by firing tear gas, rubber bullets, and water cannons.

Government spokeswoman Karla Rubilar said in a televised address Monday evening that "people are tired of this violence and chaos."

"How is this destruction helping to make the country better?" she said.

Pinera has called the protesters' demands "legitimate" in a country that has among the highest levels of income inequality in the world.

Demonstrators protest against President of Chile Sebastian Piñera during his announcenment of changes in his cabinet at Palacio de La Moneda on October 28, 2019.

The president has promised social and economic reforms to tackle issues at the heart of the unrest, including pension raises, affordable medical insurance, lowering the prices of medicines and stabilizing electricity prices.

On Thursday, Pinera announced a cancellation of energy price hikes that would have affected "almost 7 million Chilean households," he said.

But many demonstrators see his efforts as too little, too late and they continue to turn out in their hundreds of thousands.

On Monday, protesters held a vigil for those who have died during the unrest. Images show a fountain in front of the Tribunal de Justicia dyed red to represent blood as two women light candles.

Chile's Interior Minister's Office raised the death toll to 20 over the weekend. In a statement, the new toll includes a burned body discovered inside a supermarket that was set on fire on October 24 in Maipu, a commune of Santiago.

The protests initially began over a now-suspended price hike for subway tickets in Santiago but have since expanded, revealing anger among ordinary Chileans who feel they have been excluded from the nation's economic rise.

Many are frustrated over economic inequalities, living costs, rising debt and corruption in a country that remains among the most prosperous and stable in Latin America.

RIGHTS GROUPS ACCUSE TANZANIA'S PRESIDENT OVER RISING REPRESSION

President John Magufuli

By Mia Swart

Two international rights groups have accused the government of Tanzanian President John Magufuli of increasingly repressing political dissent.

Since Magufuli’s election in 2015, Tanzania has implemented laws that stifle independent journalism and severely restrict the activities of NGOs and opposition parties, Amnesty International  and Human Rights Watch (HRW) said in two separate reports released on Monday.

Civil society activism and public discussions on human rights-related issues have also been suppressed, while the authorities’ “regressive” policies have restricted the playing field for those seeking to challenge the ruling party, they added.

"With elections around the corner, people don't feel that they can comment honestly,” said Jehanne Henry, HRW’s East Africa director, referring to Tanzania’s polls scheduled for next year.

“Human rights activists are restrained from pushing for accountability for disappearances and other human rights abuses,” she told Al Jazeera.

Al Jazeera contacted the Tanzanian government for comment but did not receive a response by the time of publication.

The rights groups interviewed dozens of government officials, lawyers and NGO representatives, as well as academics, journalists, diplomats and religious leaders. 

They said the government has stepped up censorship since 2015 by banning or suspending five newspapers for content deemed critical. Among them was Tanzania's major English-language paper, The Citizen.

Tanzanian journalist Erick Kabendera arrives at the Kisutu Residents Magistrate Court in Dar es Salaam, Tanzania on August 19, 2019 

The authorities have also used the 2015 Cybercrimes Act to prosecute journalists and activists for social media posts. In 2017, a court in Dar Es Salaam used this law to convict human rights activist Bob Chacha Wangwe for "publication of false information". His conviction over a Facebook post in which he questioned the fairness of the 2015 election in Zanzibar was later overturned by the High Court.

Speaking to Al Jazeera, Wangwe said there was a "shrinking media space" in Tanzania, attributing the change to the political climate to Magufuli’s policies.

The rights groups found that one way in which speech has been stifled is through amendments to legislation. The Political Parties Act, for example, was amended in January 2019 to give the Registrar of Political Parties sweeping powers to deregister parties, to demand information from political parties and to suspend party members.

The organisations also said the government uses the 2015 Statistics Act to control independent research and public access to independent statistical information, denying people alternative sources of independently verified information. 

"We see a dangerous repressive trend escalating in Tanzania," Roland Ebole, Amnesty International’s Tanzania researcher, said. “The authorities are denying citizens their right to information by administering only those ‘truths’ sanctioned by the state.”

In July 2016, President Magufuli announced a blanket ban on political activities until 2020. The ban has been selectively applied against opposition politicians, several of whom have been arrested on trumped-up charges, the rights groups said.

“The restrictions on political parties mean that they cannot do their work,” Wangwe said. “Parties are banned from campaigning outside their own constituencies.”

Both Amnesty and HRW called on the Tanzanian government to "immediately and unconditionally drop all charges against journalists and politicians brought simply for exercising the rights to freedom of expression and association".

KENYA IN THE CARTOON

Examination day in Kenya

GHANA: SLEEPING PRESIDENT SLEPT IN RUSSIA

Accra, GHANA

US-based Ghanaian and social media commentator, Kevin Ekow Baidoo Taylor, has questioned the President’s competency, over a video from a recently held international summit, seemingly depicting Mr. Akufo-Addo as ‘sleeping’ in the front row where he was seated.

Nana Addo Dankwa Akufo-Addo, was captured in a sleeping posture during the maiden Russia-Africa Summit held in Sochi, Russia.

In the video, President Akufo-Addo can be seen comfortably sitting amongst other dignitaries with his eyes closed and seemingly enjoying his nap.

Mr. Taylor who believes the incident ‘exposes’ the flaws of the leadership of the country said,

“The President, Nana Addo Dankwa Akufo-Addo wore a suit, tied a hanky around his wrist, hired a private jet, put in about 20 people, flew all the way to Russia and went to sleep at the African Summit.

This is no joke, the President was sitting in front and was deep sleeping, dreaming and this is the biggest embarrassment Ghana has faced.

Since Nana Addo Dankwa Akufo-Addo took office as President in the Fourth republic of Ghana, this man has never sat through a meeting without sleeping. It’s a fact and we think we can play politics with this? This sums up the kind of government or country we have today, this man is not in charge,” he said.

In fact, resignation he maintained, would have been the ideal ‘penalty’ for Mr. Akufo-Addo if the same was done by a leader in a more ‘serious democratic nation’.

“In any serious democratic nation, this man would have been told to resign, this man is sleeping on the job.”

President Akufo-Addo has been caught off guard on several occasions napping at very important social functions.

Going down memory lane, some of the very few places he’s been accused of napping at are the Chief Imam’s birthday ceremony in 2018, a visit to a church for thanksgiving after he was elected president, amongst many others.

While some Ghanaians believe his sleeping habit is as a result of old age, others link it to his busy work schedule.

MOZAMBIQUE: FILIPE NYUSI RE-ELECTED IN LANDSLIDE VICTORY

Mozambique's President elect, Filipe Nyusi

By Our Correspondent, MAPUTO Mozambique

Mozambique's President Filipe Nyusi has been re-elected after a landslide victory, official results announced on Sunday confirmed.

The elections took place earlier this month and Sunday's announcement revealed Nyusi won with 73% of the vote.

In a speech given to cheering supporters in the capital Maputo, Nyusi said he would further develop Mozambique and hasten the implementation of a two-month-old peace deal with Renamo — a rebel group turned opposition party. 

"I will work so that we can have a prosperous, equitable and fair Mozambique," he told the crowd, who also were in attendance with vuvuzelas. "In these elections, the Mozambican people won."

The opposition party (Renamo) has disputed the legitimacy of the results, claiming fraud and intimidation tactics were deployed by Nyusi's ruling party.

Frelimo won 184 seats, with Renamo securing 60 seats and the MDM party getting the remaining six in the National Assembly.

Voter turnout was at 51%, according to the electoral commission.

The result means Frelimo are "stronger than ever," said businessman and activist, Erik Charas, who founded the independent free newspaper A Verdade. "A third term is possible," he added, despite the constitution curbing a president to a maximum two terms.

But a two-thirds majority in parliament would allow Frelimo to re-adjust the constitution without needing the agreement of the opposition.

The US Embassy joined in the skepticism over the result, saying its observers "witnessed a number of irregularities and vulnerabilities during the voting and the first stages of the tabulation process."

The peace deal signed between Frelimo and Renamo in August sought to end a long history of conflict, including a 1975-1992 civil war that saw nearly a million people killed.

In the deal Frelimo agreed to allow Mozambique's 10 provinces elect governors for the first time.

US ZIMBABWE SANCTIONS: SECURITY MINISTER TARGETED

By Makini Brice

The United States has imposed sanctions on Zimbabwe's state security minister, Owen Ncube, over what it says is credible information of his involvement in "gross violations of human rights," U.S. Secretary of State Mike Pompeo said on Friday.

Pompeo said in a statement that Washington was troubled by the "Zimbabwean government's use of state-sanctioned violence against" protesters, opposition leaders and labor leaders.

Two years after the ouster of Zimbabwe's longtime ruler Robert Mugabe by the army and President Emmerson Mnangagwa, people are still grappling with triple-digit inflation and shortages of basic goods like fuel.

Last month, doctors took to the streets after Peter Magombeyi, their union leader and one of the organizers of an effort to demand higher wages for state doctors, went missing.

Ncube said at the time that Magombeyi's case was being treated as a disappearance, not an abduction, as his colleagues have alleged.

Human rights groups say they have recorded more than 20 cases of abductions of activists by state security agents since January. The government denies any involvement.

TANZANIA ARRESTS 4 CHINESE OVER 'SLOW CONSTRUCTION PROJECTS'

By Our Correspondent, Dar es Salaam TANZANIA

Tanzanian authorities said Thursday they had arrested four Chinese contractors because of slow progress in state-funded construction projects, in what it said was an "example" to other businesses.

Regional Commissioner of the Dar es Salaam region, Paul Makonda

The three men and a woman are employed by two companies contracted to build a canal and a section of road in Dar es Salaam.

Abubakar Kunenge, Executive Secretary of the Dar es Salaam region, said work on the two schemes was "going nowhere".

"The Regional Commissioner of the Dar es Salaam region, Paul Makonda, ordered the arrest of these business people... he wants it to serve as an example to others," said Kunenge.

He said the four would "spend each night at the central police station and go every morning to supervise the works until (Makonda) decides the speed of work is sufficient".

"These are projects of great public interest... business people who cannot respect contracts have no place in Dar es Salaam."

President John Magufuli's government has become known for meting out summary measures such as breaking or forcing the renegotiation of contracts with foreign companies it considers unfair, or cracking down on gays, pregnant schoolgirls, the media and opposition.

ZIMBABWE'S WATER WOES WORSEN AS CAPITAL SHUTS SERVICE

Zimbabwe is facing an acute water shortage after this year's drought.

By Columbus S. Mavhunga and Bukola Adebayo, Harare ZIMBABWE

Authorities in Zimbawe are scrambling to meet the water needs of the country's capital Harare after the city's main water treatment plant was shut down on Monday, leaving 1 million people without tap water.

Zimbabwe was hit by a severe drought between October 2018 and May this year, but Harare's Deputy Mayor Herbert Mupamaonde said a prolonged shortage of foreign currency to import water purifying chemicals has worsened the situation.

Mupamaonde said officials have sought a week's supply of chemicals from Bulawayo, the country's second-biggest city, to resume operation and they hoped to get water running in homes by late Tuesday.

"The secured quantities will only last seven days during which period other quantities will be secured. We are currently engaging all stakeholders, including the government to find a lasting solution to the water crisis," Mupamaonde said Tuesday.

The Morton Jaffery water plant, which supplies Harare and surrounding towns with water had been struggling to stay in operation since June before it shut down on Monday.

Tambudzai Murwa who lives in Mufakose, one of Harare townships, told CNN she has dug a well to meet her needs since authorities started rationing water to her home this year.

"We hardly have water in our taps. We pray daily that the cholera outbreak does not recur. A few boreholes were dug, but you have to queue for long to get water, yet we have other things that we have to queue for in our lives," she said.

Local residents queue to fill buckets and containers with water at a communal tap in Empompini in Cowdray Park, Bulawayo, Zimbabwe on August 3, 2019.

The southern African nation is struggling to cope under the double impact of the drought and a cyclone that devastated food harvests in March.

More than two million people Zimbabweans are facing starvation, the UN food agency said in a report and a third of the country's population will need food aid by 2020, according to the United Nations Children's Fund.

In August, the government and the UN in Zimbabwe launched a donor appeal calling for US$331 million to assist those affected in the country.

UGANDA IN THE CARTOONS

Flooding of Kampala this rainy season

When the government ordered blockage of concerts in Uganda

GHANA LOSES $190 MILLION U.S. GRANT OVER CANCELLED POWER CONTRACT

By Christian Akorlie, ACCRA Ghana

The United States has cancelled $190 million in grants to Ghana under the “Power Africa” initiative in response to the Ghanaian government’s termination of a contract with a private utility provider, the U.S. embassy said.

The Millennium Challenge Corporation (MCC), a U.S. government foreign assistance agency, agreed in 2014 to provide $498 million in funding to Ghana’s power sector to help stimulate further private investment.

The financing was the largest by the United States under Power Africa, which was launched in 2013 by then president Barack Obama and aims to bring electricity to tens of millions of households in Africa.

One reform under the agreement involved handing over operations at state-run Electricity Company of Ghana (ECG) in March to Ghana Power Distribution Services (PDS), a consortium led by Philippine electricity company Meralco.

But Ghana’s finance minister informed U.S. officials on Saturday that the government was cancelling the 20-year concession it had signed with PDS, saying payment guarantees provided were not satisfactory.

In a statement on Tuesday, the U.S. embassy said the decision to terminate the contract was unjustified and that the MCC was therefore cancelling $190 million in grants.

The remaining $308 million will still be disbursed.

“The United States underscores the importance of contract sanctity as essential to a conducive investment climate and a precondition for inclusive economic growth,” it said.

Ghana’s Information Minister Kojo Oppong Nkrumah told reporters on Wednesday that the U.S. announcement did not represent “a crisis of confidence” between the two governments.

“It has been a difference in opinion which we have mutually agreed to respect,” he said.

Meralco did not immediately respond to a request for comment.

KENYA IS DEAD BROKE

By David Mwere, Nairobi KENYA

Kenya is facing a debt crisis but government officials don’t seem to know what to do about it. The obvious route is to borrow some more to pay old debts and finance the budget.

An admission by the National Treasury that the government is broke and may be unable to finance this year’s Sh3.02 trillion budget if Senate rejects an increase in the debt ceiling to Sh9 trillion exposed the sad truth.

From left: Kenya Revenue Authority Board chairman Francis Muthaura, acting National Treasury Cabinet Secretary Ukur Yattani and Treasury Economic Secretary Geoffrey Mwau during a past function in Nairobi.

Experts have raised the red flag that the country cannot take up more debt but from acting National Treasury Cabinet Secretary’s admission, we could be too deep in the hole that more debt is what will save us.

Earlier, United States Ambassador to Kenya Kyle Carter had said that the onus was on Kenya to sort the debt issue and that the US government was fully committed to support the building of the expressway.

The Transport Cabinet Secretary James Macharia has already announced that the Cabinet had suspended the project for at least two years to allow the country’s debt levels to drop, while also prioritising other important projects.

Mr Yattani made the revelations Wednesday during a meeting with the joint sitting of the Senate Committees on Delegated Legislation and Finance and Budget at the Kenyatta International Convention Centre as Senators and the Institute of Certified Public Accountants of Kenya (Icpak), dug in the issue.

“If we are not guaranteed this amendment, there will be a crisis in the country because we will not be able to implement this year’s budget. We will also be unable to do debt restructuring to retire some of the old and expensive commercial loans with interest rates of up to 9.5 per cent that are chocking our economy,” Mr Yattani said.

Initially, the Treasury thought it had already had its way on October 9, when the National Assembly approved the amendments to Public Finance Management (PFM) (National Government) Regulations seeking to raise the debt ceiling to Sh9 trillion from the current Sh6.09 trillion, surpassing the Sh5.8 trillion as of June, according to latest data from Central Bank of Kenya (CBK).

However, it took the intervention of the Office of the Attorney-General to remind Treasury mandarins led by the CS that it also needed the input of the Senate to amend the regulations.

President Uhuru Kenyatta

According to the Statutory Instruments Act of 2013, regulations brought to Parliament for consideration by relevant government agencies cannot be amended, they can only be approved or rejected.

Initially, the Senate had proposed a ceiling of Sh7.5 trillion but withdrew after learning it was headed nowhere because of the exigencies of the law.

This means that if the Senate rejects the PFM regulations, they will be lost, meaning that the previous effort by the National Assembly in approving them will amount to naught.

The implication of the Senate’s refusal to approve the amendment means that the government will not borrow at least Sh635 billion to plug the budget deficit in the current financial year.

The government requires the billions to finance about 44 key infrastructure projects.

Any borrowing by the Executive is subject to parliamentary approval. The Treasury wants the regulations amended to change from the current debt to Gross Domestic Product (GDP) to a new target in numerical limit figure.

The law provides a debt ceiling of 50 per cent of Kenya’s GDP (about Sh9.5 trillion).

With the government having accumulated Sh6.09 trillion in public debt already, it means that it has overshot this limit by about 63 per cent of GDP, which Mr Yattani admitted is in breach of the law that now needs to be corrected through the regulations. It also means no more borrowing can be done without amending the law to increase the debt ceiling.

Mr Yattani told Senators that negotiations into the budgetary financing by various development partners have been concluded but cannot be signed without amending the law.

However, the joint committee led by Pokot West Senator Samuel Poghisio and representatives from Icpak poked holes into the Treasury’s explanation.

Senators Mutula Kilonzo Junior (Makueni), Moses Wetang’ula (Bungoma) and Irungu Kang’ata (Murang’a) warned that changing the limit will plunge the country into unsustainable debt obligations.

“I am sorry I am not seeing any evidence of restructuring the old and expensive loans,” Mr Kilonzo Jnr said.

Mr Wetang’ula said changing the current limit to numerical limit is unconstitutional.

“Your right to borrow must equal the ability to repay. If you want to open the ceilings do not take from the level of the GDP. It is unconstitutional,” he said.

Icpak’s Public Accounts Committee chairman Erustus Kwaka said amending the law as suggested by Treasury will cause debt distress.

“Debt to GDP has worked for this country for 57 years. What you are suggesting may move us to a higher and dangerous level,” he said.