Kenya: Request for a Three-Year Arrangement under the Poverty Reduction and Growth Facility

IMF Staff Country Reports, January 8, 2004

Source details

Canonical URL

Kenya: Request for a Three-Year Arrangement under the Poverty Reduction and Growth Facility

Other formats

• Markdown version
• Structured JSON version
• Bundle manifest

Bibliographic details

• Published: January 8, 2004
• Series: IMF Staff Country Reports
• DOI: https://doi.org/10.5089/9781451821109.002

Overview

• Kenya showed poor implementation of policies and weak economic performance under the Poverty Reduction and Growth Facility (PRGF) arrangement.
• The government formulated a new Economic Recovery Strategy for Wealth and Employment Creation (ERSWEC) aimed to address major macroeconomic vulnerabilities.
• Executive Directors emphasized the need for domestic debt reduction, the restructuring of spending, and a sustained implementation of the reform agenda.
• Executive Directors suggested that bold reforms will be essential to encourage private investment and to mobilize adequate donor support for the reforms.

Key findings

• Poor implementation of PRGF policies and weak economic performance under the PRGF arrangement.
• New government strategy: Economic Recovery Strategy for Wealth and Employment Creation (ERSWEC) intended to address major macroeconomic vulnerabilities.
• Emphasis by Executive Directors on:
  • domestic debt reduction
  • restructuring of spending
  • sustained implementation of the reform agenda
• Role of reforms: essential to encourage private investment and mobilize adequate donor support.

Policy recommendations and implications

• Prioritize domestic debt reduction.
• Restructure public spending to support macroeconomic stability and poverty-reduction priorities.
• Sustain and deepen implementation of the reform agenda under ERSWEC.
• Implement bold reforms to:
  • encourage private investment
  • mobilize adequate donor support for the reforms

Subject classifications and keywords

• Subject: Banking, Expenditure, External debt, Imports, International trade, Poverty, Poverty reduction strategy, Public debt
• Keywords: Africa, CR, ERSWEC programme, Global, government, Imports, ISCR, Kenyan authorities, outlay, Poverty reduction strategy, PRGF loan, PRGF-supported program, priority poverty reduction outlay, strategy, Sub-Saharan Africa

Content in this bundle

• 1. Recommended Action Plan to Improve Compliance with the
  • 1. Recommended Action Plan to Improve Compliance with the (Markdown version)
  • 1. Recommended Action Plan to Improve Compliance with the (PDF)