The International Monetary Fund (IMF) will issue Kenya with Ksh48 billion after the IMF staff and the Kenyan authorities reached an agreement on economic policies in an aid package approved in April.
A statement issued on Monday, May 17, Mary Goodman who led the IMF team to the country indicated that Kenya met conditions for the US$410 million facility.
“IMF staff commend the authorities’ decisive policy actions to contain the Covid-19 outbreak. Their actions helped to cushion the blow to the economy and maintained the momentum necessary to advance their economic reform agenda," reads an excerpt of the statement.
"With the easing of the third wave of Covid-19 infections compared to high levels seen into April, containment measures have been lifted.
"The authorities have also launched a Covid-19 vaccination program, and the IMF program is designed to support Kenya’s efforts to accelerate and expand vaccinations," reads the statement in part.
The IMF and the Kenyan authorities agreed that the IMF was playing an important role in supporting Kenya’s long-term economic vitality.
Additionally, it was helping Kenya respond to shocks given the uncertainty about the future path of the pandemic.
IMF also praised the Kenya authorities for its efforts to increase transparency and fight corruption.
"Noteworthy is that the authorities continue to push forward with their agenda to increase transparency and fight corruption, they will shortly publish an audit of all COVID-related expenditures in Financial Year 2019/2020.
"The authorities’ plan to adopt a common payroll system at the national and county level should help contain spending growth and limit the scope for corruption," reads the statement.
In April, IMF approved a $2.34 billion aid package for Kenya.
The package was to be disbursed over 38 months, under the Extended Credit Facility and the Extended Fund Facility.
