• IMF delegation in Nairobi Sept. 25–Oct. 9 to discuss a new support package.

• Kenya’s debt stood at 63% of GDP in 2024 and is projected to hit 68.3% in 2025.

• Previous $3.12 billion IMF program expired in April after reform setbacks.

An International Monetary Fund (IMF) mission began a two-week visit to Kenya on Sept. 25 to discuss a possible financing program requested by Nairobi, the Fund said in a Sept. 24 statement.

The IMF reaffirmed its commitment to help Kenya “maintain macroeconomic stability, preserve debt sustainability, strengthen governance and promote inclusive, sustainable growth.” Discussions will likely focus on a new package to support debt repayment and budget reforms.

Kenya’s debt reached 63% of GDP at the end of 2024, exceeding the 55% threshold considered sustainable. The IMF projects it will rise to 68.3% in 2025.

The East African country abandoned the ninth review of its Extended Credit Facility (ECF) and Extended Fund Facility (EFF) arrangements in March, forfeiting a planned $800 million disbursement. Implementation of agreed reforms was disrupted by protests against tax hikes in June 2024.

The original $3.12 billion IMF-backed program, approved in 2021, expired in April. While the World Bank says Kenya’s growth outlook remains positive, it warned that missed fiscal consolidation targets could heighten debt vulnerabilities and weigh on private sector–led expansion.

The economy is expected to grow 4.5% in 2025 and average 4.9% in 2026–27, according to IMF estimates.

This article was initially published in French by Lydie Mobio

Adapted in English by Ange Jason Quenum