Kenya pulls plug on Sh301b IMF deal amid hunt for new bailout

The Kenya Kwanza administration has abruptly terminated its existing Sh301 billion International Monetary Fund (IMF) programme, a move that offers temporary relief from immediate tax increases but raises concerns about the country’s fiscal discipline.  

This decision coincides with President William Ruto’s newly reorganised government, seeking a new financial arrangement with the IMF, fully aware that any new programme will be a crucial test amid escalating living costs and the potential for social unrest.