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NAIROBI, Nov.20 (Xinhua) – Kenya’s Treasury said on Friday that it has not requested a suspension of debt payments under the G20 COVID-19 initiative aimed at helping poor countries contain the spread of the COVID-19 pandemic.
Ukur Yatani, cabinet secretary for the National Treasury, said he was encouraged that economic activity had recovered after a series of fiscal and monetary policy interventions and the reopening of the economy.
“Kenya seeks a cautious approach when evaluating the costs and benefits of the offering and making an informed decision to safeguard the country’s economic and financial position,” Yatani said in a statement issued in Nairobi.
He said the major G20 economies offered in May to suspend external debt service for low- to middle-income economies facing temporary liquidity challenges during the period of the COVID-19 pandemic.
“Kenya appreciates this intervention, among others, in the form of financial support directed to the health sector. In particular, the government recognizes the immense support received through multilateral and bilateral agencies to mitigate the effects of the COVID-19 pandemic.” Yatani said.
“While challenges remain given the uncertainties of the COVID-19 pandemic, we are confident that the economy will respond to policy and structural reform measures supported by our development partners,” he said.
Yatani said Kenya is currently in talks with the International Monetary Fund (IMF) for a program to anchor fiscal policy to stabilize the economy and address emerging vulnerabilities. Final product
