Kenya Loan Deficit

Kenya secured a 600 million loan from china last week to help towards paying for a 6 billion budget deficit that the government expects this year.

Kenya loan deficit. Kenyas lawmakers through the parliamentary budget office however said the countrys rising debt service payments that amounted to ksh775 billion 775 billion in the 20182019 fiscal year has complicated the entire fiscal consolidation framework making attempts by the national treasury to reduce budget deficit a tough call. Nairobi jan 17 reuters kenya is in advanced talks with the world bank for a fairly priced loan of up to 100 billion. The world bank has approved a 1 billion loan for kenya to help it close a gaping budget deficit and tackle the economic shocks from the coronavirus pandemic both sides said on wednesday. Kenya will turn largely to local loans to fund its budget deficit a departure from expensive commercial loans that have sent the countrys public debt to the roof.

As of june 30 2015 kenyas gross public debt to gdp ratio was 497 per cent and external loans contributed to the sh4209 billion increase in public debt from june 2014. The world bank has approved a 1 billion loan for kenya to help it close a gaping budget deficit and tackle the economic shocks from the coronavirus pandemic both sides said on wednesday. The loan initiated before the health crisis started is the second ever such direct lending for the budget from the world bank after the first was processed last year. Central bank of kenya governor patrick njoroge said the budget deficit the difference between expenditure and tax revenue as a result expanded to 74 per cent of gdp past treasurys target of.

The loan is expected to address kenyas widening budget deficit that has seen the government implement revenue cutting measures to shield citizens from the negative impact. Nairobi kenya may 20 kenya is set to receive a whooping sh1068 billion loan from the world bank an amount the national treasury says will be used in budget support.