Fri Sep 13 07:35:59 UTC 2024: ## IMF Team in Kenya to Assess Path Forward After Tax Hike Protests

**NAIROBI, Kenya** – An International Monetary Fund (IMF) team is currently in Kenya on a fact-finding mission, the organization announced Thursday. This follows a series of deadly protests that forced the Kenyan government to abandon its proposed tax hikes, leaving the country facing a larger budget deficit and delayed IMF funding.

President William Ruto withdrew the finance bill in June, leading to a significant increase in the country’s already substantial debt burden. The government is now struggling to pay its bills, while the IMF, which had already approved a $3.6 billion loan package for Kenya, has put the disbursement of funds on hold.

The IMF team’s visit is part of an ongoing dialogue to find a solution that addresses the country’s fiscal challenges while ensuring stability. While details of the mission remain unclear, the IMF’s Head of Communications, Julie Kozack, confirmed that further updates will be provided once the team has completed its assessment.

Kenya had previously agreed to a four-year loan with the IMF in 2021, and secured additional funding for climate change initiatives in May 2023. The IMF requires regular reviews of economic reforms, including Kenya’s, every six months before releasing further tranches of funds.

While Kenyan officials had anticipated an IMF board meeting to approve the disbursement of a $600 million tranche later this month, the protests have significantly impacted the timeline. It remains unclear when the board will reconvene to discuss this issue.

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