Kenya has successfully executed a payment of Kshs 10.8 billion) in interest, a necessary instalment on the US$2 billion Eurobond.
According to a statement from treasury, CS Prof Njuguna Nd’ungu, Kenya remains dedicated to fulfilling all debt obligations with international lenders.
“This financial commitment, achieved through prudent use of revenue collections, underscores Kenya’s steadfast. Dedication to meeting external obligations,”CS Nd’ungu said..
CS Nd’ungu says that timely settlement of interest payments on the Eurobond has not only sent a positive signal to investors –
but has also resulted in a reduction in yields on Kenya’s Eurobonds in the global financial markets.
Additionally,Nd’ungu noted that the final interest payment on this Eurobond is scheduled for the last week of June 2024,
alongside the repayment of the principal amount of US$2 billion.
“Since July 2023, the government has diligently implemented a comprehensive plan for debt service payments,
combining revenue and concessional financing to retire high-cost debts within the national debt portfoli,” He said.
He further added that Substantial external inflows from the World Bank, IMF, and other Development Finance Institutions,
in addition to key bilateral partners, are anticipated between January and March 2024.
Also, CS Nd’ungu observed that a slow start in revenue collection at the fiscal year’s commencement,
the preliminary outcome for the six months ending December reflects an impressive turnaround.
“The ongoing fiscal consolidation plan, driven by revenue generation, aims to curtail borrowing, reduce debt levels over the medium term, and ultimately enhance the well-being of Kenyans,” The CS noted.
Final interest payment on Eurobond to be completed in June 2024, CS Nd’ungu says
