NAIROBI, Kenya, Oct 8 – The Central Bank of Kenya (CBK) will hold further talks with the International Monetary Fund (IMF) to discuss a new funding package.
CBK Governor Kamau Thugge announced during the Post-Monetary Policy Committee (MPC) briefing on Wednesday that the talks will take place in Washington DC, United States, next week.
“We have been having the IMF visit with us for the last two weeks. The mission comes to an end tomorrow. We are continuing discussions with a view to having a program. The discussions will continue next week when we go to Washington. And of course, we would hope to reach an agreement on a funded program as soon as possible,” Thugge said.
The IMF delegation, which has been in Nairobi for the past two weeks, has been engaging the Kenyan government on a possible new support program.
Led by IMF Mission Chief for Kenya Haimanot Teferra, the visit followed a request by the government to initiate preliminary talks on a new Fund-supported arrangement.
CBK announced in August that it was seeking IMF backing after the collapse of the $3.6 billion Extended Fund Facility (EFF) and Extended Credit Facility (ECF) programs.
The two facilities, worth about $800 million, stalled after Kenya failed to meet conditions related to revenue collection and deficit reduction.
The IMF has pledged to support Kenya in maintaining macroeconomic stability, safeguarding debt sustainability, strengthening governance, and promoting inclusive growth.
The mission comes months after the government was forced to abandon contentious tax hikes in the 2024 Finance Bill following deadly youth-led protests.
