Find out how the external debt affected Kenya and Tanzania after independence?

After gaining independence, both Kenya and Tanzania faced significant challenges in managing their external debt.

In Kenya, the country's external debt increased rapidly in the years following independence, as the government borrowed heavily to finance infrastructure projects and development initiatives. This led to a debt crisis in the 1980s, as the country struggled to meet its debt obligations and faced high levels of inflation and economic instability. The government was forced to implement austerity measures and seek assistance from international financial institutions to restructure its debt and stabilize the economy.

In Tanzania, the government also borrowed heavily to finance development projects after independence. However, the country's debt burden was relatively lower compared to Kenya, as the government pursued a more cautious borrowing strategy. Despite this, Tanzania still faced challenges in managing its external debt, particularly during the 1980s when the country experienced economic stagnation and high levels of poverty. The government implemented structural adjustment programs and sought debt relief from international creditors to address its debt crisis.

Overall, the external debt had a significant impact on both Kenya and Tanzania after independence, leading to economic instability, inflation, and the need for external assistance to manage their debt burdens. Both countries have since implemented reforms to improve debt management and reduce their reliance on external borrowing.