Rising Interest Rates Reignite Calls for Interest Rate Controls

In the latest treasury bond issue, investors asked for over 18% interest rate, forcing the government to reject most bids. The rising interest rates have reignited the clamor to control interest rates. Baringo North MP Joseph Makilap has drafted a Bill to reintroduce the controls which were abolished in 2019 after disastrous economic consequences.
This steep rise in interest rates cannot be sustained. It might become necessary to regulate the rates to avoid overheating the credit markets. High-interest rates will increase business costs, leading to further economic slowdown.