The International Monetary Fund (IMF) executive board on Wednesday approved Sh78.4 billion ($739 million) in emergency financing to help Kenya respond to the sudden economic shock caused by the Covid-19 pandemic.
“Emergency financing under the Rapid Credit Facility (RCF) will deliver liquidity support to help Kenya cover its balance of payments gap this year," said IMF deputy managing director Tao Zhang in a statement.
The International Monetary Fund (IMF) executive board on Wednesday approved Sh78.4 billion ($739 million) in emergency financing to help Kenya respond to the sudden economic shock caused by the Covid-19 pandemic.
“Emergency financing under the Rapid Credit Facility (RCF) will deliver liquidity support to help Kenya cover its balance of payments gap this year," said IMF deputy managing director Tao Zhang in a statement.
"It will provide much-needed resources for fiscal interventions to safeguard public health and support households and firms affected by the crisis,” he said.
Financing under the RCF carries a zero interest rate, has a grace period of five and a half years, and a final maturity of 10 years, according to the IMF concessional lending terms.
The IMF warned the impact of the coronavirus fallout on the Kenyan economy will be "severe" but added it was in close contact with Kenyan authorities and stands ready to provide policy advice and further support, as needed.
