According to a document posted on the World Bank website, Kenya and the bank have raised the amount under consideration for a possible budget support loan this fiscal year by a third to $1 billion.
The document revealed that although the Kenyan government had previously stated they were in negotiations for a sum of $750 million, that figure has since been increased. The directors of the bank must still approve the loan.
It is anticipated to decide before June 30, the conclusion of Kenya’s current fiscal year. An agreed-upon policy area is linked to the lending instrument, which is a loan for development policy operations.
In 2019, Kenya met the criteria for that kind of funding, and it has since gotten four of them, the most recent of which was in March.
The Kenya economy is facing numerous difficulties, such as a high debt burden, a lack of fiscal room, a drought, and a depreciating currency.