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The Kenya Times
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    Photo Of Petricia Terer Ondeng' Photo By X And Eacc

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Ruto Asks IMF for Unspecified Multibillion Loan

by Edwin Hinda
March 17, 2025
Reading Time: 4 mins read
Kenya Receives Global Recognition For Anti-Money Laundering Success

President William Ruto in Addis Ababa during the African Union Summit. PHOTO/PCS.

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The Kenyan government led by President William Ruto has submitted a new financing programmed to the International Monetary Fund (IMF).

This development comes after a staff team from IMF, led by Haimanot Teferra, visited Nairobi between 6th and 14th March 2025.

Speaking at the conclusion of the visit, Teferra said the IMF has received a formal request for a new programme from Kenyan government.

She said the Fund’s leadership will engage the Kenyan authorities going forward.

“The IMF has received a formal request for a new program from the Kenyan authorities and will engage with them going forward,” Teferra said.

Teferra revealed that the two delegations agreed that IMF will stop its current extended fund facility and extended credit facility programmes.

This means that the anticipated disbursement of Ksh88.0 billion (US$680.0 million) from the fund for the 2024/25 financial year has now been halted.

“The mission team engaged with the Kenyan authorities on recent developments and the macroeconomic outlook. The Kenyan authorities and IMF staff have reached an understanding that the ninth review under the current Extended Fund Facility and Extended Credit Facility programs will not proceed,” she said.

The IMF team met with President Ruto, Treasury Cabinet Secretary John Mbadi, Central Bank of Kenya Governor Thugge, and their teams, as well as representatives from various government agencies, and other key stakeholders.

“The staff team would like to express its gratitude to the Kenyan authorities for their engagement and hospitality during this mission,” IMF said.

However, IMF has not clarified the kind of programme Kenya is requesting for.


Also Read: IMF Recommends Three Key Tax Reforms for Kenya After Approving Ksh78 B Loan


Mbadi Hints at Taking Another IMF Loan

CS Mbadi said in February that it would be a financing programme.

Speaking to Reuters Mbadi said the government was already planning to secure another loan programme with IMF.

Mbadi noted that Kenya has other loan options, but IMF remains the best among them.

“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.


Also Read: IMF Boss Recommends Key Reforms for Kenya After 2-Day Visit


He revealed that there is a Ksh193.8 billion (USD1.5 billion) loan facility available from the United Arab Emirates, at an 8.25 per cent interest rate.

However, the CS said Kenya is still considering other options which could also include Eurobonds to fund its budget.

“We have the option of taking that or we go to the market, which is open now, and with our good and positive credit,” he added.

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President William Ruto (Right) And Imf Managing Director Kristalina Georgieva Shake Hands In A Past Meeting.president William Ruto (Right) And Imf Managing Director Kristalina Georgieva Shake Hands In A Past Meeting. Photo/Pcs
President William Ruto (right) and IMF Managing Director Kristalina Georgieva shake hands in a past meeting. PHOTO/PCS.

Tags: IMFRuto

Edwin Hinda

Edwin Hinda is a versatile and creative journalist with a keen interest in politics, sports, education, international affairs, entertainment, and soft content. With a degree in Communication and Media Technology (Print Option) with IT from Maseno University, Edwin brings a well-rounded academic background to his work. He excels in conducting thorough interviews and in-depth research, ensuring that his stories are both informative and engaging. He can be reached at [email protected]

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