The government is exploring the possibility of securing another loan programme with the International Monetary Fund (IMF) just two months before the end of the current program.
Treasury Cabinet Secretary John Mbadi revealed to Reuters on Wednesday, February 5, that while Kenya has other loan options, the IMF remains one of the most plausible ones after the plan to implement the contentious Finance Bill last year was met by nationwide protests. "Maybe before the current program comes to a close in April, there should be some indicators of whether we are starting a new program and what that new program will entail," Mbadi said.
Among the options on the table is a Ksh193.8 billion (USD1.5 billion) loan facility from the United Arab Emirates, at an 8.25 per cent interest rate, but Mbadi divulged that the government was still exploring other avenues, which could also include Eurobonds to fund budgets for this fiscal year.
Treasury Cabinet Secretary John Mbadi during a public engagement with bunge la wananchi on the state of the economy at Jeevanjee Gardens, Nairobi on Monday, February 3, 2025.
