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Kenya faces debt trap on yielding to IMF demands

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People Daily | by John Otini


The intense pressure by International Monetary Fund (IMF) which saw National Treasury cave in to include county government and parastatal debts onto the national debt has opened a pandora’s box, with far-reaching ramifications on Kenya’s sustainability effort.

The Bretton Woods Institution wants Treasury to take responsibility for both guaranteed and non-guaranteed debt.

The IMF reports says the government has guaranteed Sh139 billion which includes the Sh75 billion given to struggling Kenya Airways it wants to nationalise…

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