Yemisi Izuora
IMF chief Christine Lagarde was in Kenya last year and met President Uhuru Kenyatta, where the International Monetary Fund offered to make loans of around $700m (£460m) available to the country.
The money will be used as an insurance policy to protect against any threats to the country’s economy which is measured as a financial powerhouse in East Africa.
The Kenyan government requested the package as a precautionary measure, in case of an emergency such as a natural disaster or militant attack. The funds will be available for the next 12 months.
Wildlife, such as this dazzle of zebras, are among Kenya’s top tourist attractions
The ministry of finance has told the IMF it doesn’t intend to use the funds just as IMF advised that it will act as security against “economic shocks.
It is worth remembering the economy is doing well, last year it grew by 5 percent and the Kenyan government say it’s being prudent, guarding against any natural or man-made disasters.
But it is on record that Kenya faces terror threat from al-Shabab, the Islamist militants who murdered more than 100 people last year in raids across the country.
This has already badly damaged the country’s tourism trade, and also the insurance policy comes at a price as the government has to commit to follow IMF rules.
These include managing debt levels, commitments on big infrastructure spending when it comes to improving road and rail networks and meeting inflation targets.
