The IMF approved a $2.3bn 3Y financing plan for African sovereign Kenya to aid the country amid the impact of the pandemic, urging the reduction of debt vulnerabilities. The funding programme called Extended Credit Facility and Extended Fund Facility will see an immediate disbursement of ~$307.5mn in budget support for Kenya as the nation’s debt, although stable, remains at high risk of distress, with total debt increasing by about $6bn from the start of the fiscal year and the total economy standing at $67.5bn as of end-January. “The support and reforms set out in this IMF program will go a long way in mitigating the effects of the pandemic, while aiding in the achievement of the government’s policy objectives set out in the recently approved 2021 Budget Policy Statement as well as Medium-Term Plan II,” said Ukur Yatani, National Treasury Secretary.
Kenya´s USD bonds were largely flat with its 7.25% 2028s at 105.865, yielding 6.19% and its 8.25% 2048s at 103.43, yielding 7.94%.
For the full story, click here
