If Kenya Power was not majority owned by the State, it would now be a company in receivership. Banks would be circling around it, ready to strip down its assets, and sell them to cut loses.
But being a parastatal, there is only one way out: The taxpayer has to bail it out in one way or the other. It is also such an important company for Kenya’s economy to be left to die.
All the critical numbers at the firm are blinking red. To meet its day-to-day operations, the giant is now surviving on overdraft facilities — the modern-day Fuliza.
It owes banks more than Sh110 billion. And in the past three years, the risks of defaults have been growing bigger and bigger.
Read more: AllAfrica