President Willian Ruto, on November 5, met International Monetary Fund (IMF) Director for African Department Abebe Aemro Selassie at State House, Nairobi.
The government and IMF partnered to strengthen Kenya’s economic output through various initiatives.
“We are taking deliberate measures to strengthen the economy through reforms at the Kenya Revenue Authority (KRA), shifting from consumption subsidies to production, raising the level of national savings and focusing on value addition, among others,” State House announced.
Ruto noted that IMF strategically realigned its priorities with the Kenya Kwanza agenda of lifting the most vulnerable from economic despair.
“We are grateful that the International Monetary Fund is aligned with this strategy,” State House added.
Abebe Aemro Selassie, who was in the company of other IMF leaders, was also happy with the fruitful visit.
The IMF boss was a close economic ally of former President Uhuru Kenyatta’s government.
On its website, IMF pledged to support Kenya’s development agenda despite the regime change after the August 2022 Election.
“Kenya’s economic program supported by the Fund’s Extended Fund Facility and the Extended Credit Facility arrangements is providing an essential policy anchor to debt sustainability and public confidence.
“In this context, the authorities’ continued steadfast commitment to prudent policies and advancing structural reforms remains essential to maintain macroeconomic stability and safeguard Kenya’s positive medium-term prospects,” wrote IMF on their website.
IMF also welcomed the Central Bank of Kenya’s recent monetary policy on tightening fiscal expenditure.
According to IMF, “the CBK should stand ready to continue adjusting its stance to limit second-round effects from higher food and fuel prices and keep inflation expectations well-anchored amid a temporary increase above the target band.
“The flexible exchange rate functioned as a shock absorber during the pandemic and should continue to do so against current global shocks, with forex interventions limited to addressing excessive volatility.”
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