Browsing: IMF in Kenya

• Kenya and the IMF talks on a new loan are making “significant progress,” Central Bank Governor has revealed.
• The country eyes about $487.2 million (Sh62.9 billion) under the IMF’s Extended Fund Facility (EFF) and Extended Credit Facility (ECF)​.
• Completing the second review under the Resilience and Sustainability Facility (RSF), approved on July 17, 2023, will provide another $120 million to Kenya.

Kenya will receive a loan of up to $1.61 billion (Sh209.3billion) from the International Monetary Fund (IMF) in December to back up the governments reserves, the Central Bank of Kenya has revealed.

This is after the government and IMF agreed to combine the seventh and eighth reviews which will raise the government access to $1.61 billion, increasing the country’s reserves to $1.9 billion (Sh245 billion) by the close of the year.

CBK Governor Dr. Kamau Thugge has confirmed that discussions with the IMF are nearing completion. The talks, have …

• Authorities in Kenya are planning to embrace zero-based budgeting starting 2025/26 financial year.
• The International Monetary Fund (IMF) believes that this kind of budgeting will help developing countries such as Kenya improve efficiency in their spending plan.
• Currently, Kenya is using traditional budgeting, where previous spending levels are typically adjusted. 

President William Ruto has announced that Kenya will shift to zero-based budgeting starting in the 2025/26 financial year, marking a departure from the current incremental budgeting system. This change means that each new financial year’s budget will start from scratch, requiring all expenses and revenue lines to be justified afresh, rather than building on the previous year’s allocations.

“I believe that that time has come for us to break new grounds. That is why in the next financial year we will adopt a zero-based budget,” President Ruto said Thursday.

However, this is not the first time Kenya has attempted such …