Ichani FrancisOmagwa JobNyaberi, Siocha Justin2023-02-132023-02-132022http://ir-library.ku.ac.ke/handle/123456789/24777A Research Thesis Submitted in Partial Fulfillment of the Requirements for the Award of the Degree of Master of Arts in International Relations and Diplomacy in the School of Security, Diplomacy and Peace Studies of Kenyatta University.The Peoples’ Republic of China is a major source of credits to several countries in the Sub-Sahara Africa. This has attracted massive borrowing by many economies in this region resulting in unprecedented increase in public debt. Kenya is ranked the third among indebted nations of China after Angola and Ethiopia. This study sought to explore the effects of China Aid on Kenya’s public debt stock. The three specific objectives of this study were: to investigate the nature of China’s monetary aid in Kenya; to examine the influence of China’s aid policy on economic growth in Kenya; to evaluate the implications of China’s loans on public debt stock in Kenya. The study was conducted within Nairobi Metropolitan area. The study adopted an exploratory research design. The target population was limited to Kenyan government ministries, IR scholars, economic experts and the embassy of the Peoples’ Republic of China in Kenya. Liberalism was used to thematically analyse the study based on the liberalization of trade. This study applied purposive sampling technique in selecting a sample size of 70 respondents from the target population who took part in this study. The primary data were obtained from one-on-one interviews with key informants and through administration of questionnaires to respondents. Secondary data was obtained from an assortment and analysis of published books, journals, academic papers, and periodicals, through rigorous and critical analysis. Quantitative data was analysed by use of descriptive and inferential statistics while the qualitative data was analysed thematically and presented in the form of narratives and verbatim. Ethical factors on the process, for the researcher and participants were taken into consideration while conducting research. The findings of the study established that aid from China in terms of concessional loans had a significant effect on the public debt stock in terms of increase of public debt. Moreover, China’s aid policy had a positive impact on the economic growth in Kenya and that China’s aid in form of concessional and development loans do not only come with a tag of ‘zero-or-no interest loans but also are attractive for their non-conditionality to the recipient countries hence preferred to those others from traditional lenders which have remained constant in their regulations. The study recommends that the government of Kenya enact policies that promote home-grown manufacturing products in textile and tailored industry. Lastly the study recommends that the government should source for other alternative means of bridging the public debt stock as well as reduce external borrowing.enChina’s AidPublic Debt StockKenyaThesis