NAIROBI, KENYA: Kenya is discussing a new standby credit facility with the International Monetary Fund after the expiry of a previous programme last year, the institution’s representative to Nairobi said on Tuesday.
The $989.8 million arrangement expired last September after the government failed to meet the fund’s conditions for an extension, including the repeal of a cap on commercial lending.
“I can just confirm that discussions on a new programme are ongoing,” Jan Mikkelsen told Reuters without offering more details.
The government is preparing to issue a $2.5 billion Eurobond and analysts say it would get better interest rates if it secured the standby credit arrangement with the IMF before it goes to market.
READ MORE
Court clears path for the Sh7tr debt petition case
IMF struck out of Kenya's Sh7 trillion 'Odious debt' case, granted immunity
How supplementary budgets water down main plan, alter projects
