Kenya in Talks With IMF for Fund Arrangement, Lender Says

(Bloomberg) -- Kenya is in talks with the International Monetary Fund for a fund arrangement, according to the lender’s resident representative Tobias Rasmussen.

East Africa’s biggest economy has “expressed interest in a fund arrangement” and IMF staff are in discussions with Kenyan authorities “toward such an arrangement,” Rasmussen said in an email response to questions.

“Our discussions are covering a range of issues,” he said. He declined to provide details on the size and nature of the fund. The new arrangement isn’t a stand-by facility, neither is it drawn from the rapid credit facility, Rasmussen said.

The Washington-based lender in May approved $739 million under the rapid credit facility to support Kenya’s response to the Covid-19 pandemic.

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