Nairobi: The International Monetary Fund (IMF) has announced that its staff will visit Nairobi from September 25 to October 9 to begin discussions with Kenyan authorities on a potential new IMF-backed support programme. The visit comes at the request of the Kenyan government, according to IMF mission chief Haimanot Teferra.

The discussions aim to address Kenya's ongoing fiscal challenges, promote macroeconomic stability, ensure debt sustainability, and strengthen governance. Kenya’s central bank governor, Kamau Thugge, previously stated that the country is seeking a funded programme to help manage its fiscal situation.

Analysts note that Kenya requires additional IMF support to meet its external debt obligations. This follows the incomplete final review of a previous $3.6 billion programme in March, which led to the withholding of an $800 million disbursement.

Challenges during the previous programme included efforts to reduce the fiscal deficit and increase revenue collection, which were hindered by nationwide protests and the abandonment of proposed tax hikes.

The upcoming IMF mission will assess Kenya's economic situation and may lay the groundwork for a new agreement. The IMF has reiterated its commitment to supporting Kenya in maintaining macroeconomic stability, safeguarding debt sustainability, and improving governance.