📖 Your Q2 Earnings Guide: Discover the Stocks ProPicks AI Highlights to Jump Post-EarningsRead more

World Bank boosts Kenya with a $12 billion financing plan

EditorHari G
Published 11/20/2023, 08:56 AM
© Reuters.

The World Bank has pledged a significant financial package to support Kenya's development agenda, with a planned injection of approximately $12 billion earmarked for the country's projects over the next three fiscal years. This commitment includes a substantial portion dedicated to fast-disbursing operations.

Kenya is on track to receive around $2 billion annually in concessional financing and looks forward to the sizable funding from the World Bank Group, which is subject to the approval of the World Bank Executive Directors and within the institution's lending capacity parameters. The nation's strategic partnership with the World Bank is already robust, featuring an $8.3 billion commitment, of which $4.4 billion is ready for disbursement.

The International Finance Corporation (IFC), part of the World Bank Group, strengthens this partnership with investments amounting to $1.2 billion in Kenya. Additionally, the Multilateral Investment Guarantee Agency (MIGA) supports these endeavors with guarantees totaling $424 million across vital sectors such as energy, transport, financial services, and tourism.

Kenya's ambitious goal is to reach upper-middle-income status by 2030, and this financial support plays a crucial role in facilitating the country's ascent. The proposed funding from the World Bank Group will include around $4.5 billion from existing commitments by the International Development Association (IDA) and the International Bank for Reconstruction and Development (IBRD).

Further bolstering Kenya's economic prospects, following an IMF staff-level agreement on Thursday, November 16, 2023, the country is set to receive an increased financial package of $938 million from the International Monetary Fund (IMF). This package provides immediate access to a tranche worth $682.3 million and awaits a review by the IMF Executive Board scheduled for January 2024.

The concerted effort from international financial institutions underscores their confidence in Kenya’s potential for growth and sustainable development.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.