May 5, 2026
Kenya's IMF Loans Ranked Seventh Largest Globally

Kenya’s IMF Loans Ranked Seventh Largest Globally

According to the International Monetary Fund (IMF), Kenya is one of the world’s top ten debtors, ranking seventh in terms of outstanding credit.

According to the most recent IMF data published on Thursday, Kenya’s current outstanding debt to the Fund is SDR 2.95 billion, or around Ksh519.8 billion at the current currency rate.

Kenya now trails only six countries in IMF debt, with Argentina leading at Ksh7.35 trillion (SDR 41.8 billion), Ukraine at Ksh1.82 trillion (SDR 10.3 billion), Ecuador at Ksh1.22 trillion (SDR 6.93 billion), Egypt at Ksh1.18 trillion (SDR 6.73 billion), Pakistan at Ksh1.16 trillion (SDR 6.59 billion), and Côte d’Ivoire at Ksh542.7 billion (SDR 3.08 billion).

Kenya is ranked third in Africa, trailing only Egypt and Côte d’Ivoire. Other important regional economies include Angola, which owes Ksh468 billion (SDR 2.66 billion), Ghana, Ksh454.8 billion (SDR 2.58 billion), Ethiopia, Ksh280.4 billion (SDR 1.59 billion), and neighboring Tanzania, Ksh235 billion (SDR 1.33 billion), all of which trail Kenya.

Despite another program with the monetary lender that has been inactive for over a year, the IMF’s most recent loan book indicates Kenya’s increased reliance on external finance to meet budgetary needs and pursue economic reforms.

Kenya has indicated that it intends to seek alternative revenue sources other than direct taxation in order to reduce borrowing from the Washington-based lender.

This includes the securitisation of government and public savings, such as those in the National Social Security Fund (NSSF).

President William Ruto announced that the government aims to eliminate external borrowing for development projects within 10 to 20 years, as part of efforts to address the country’s rising foreign debt.

President Ruto said the government would increasingly rely on the securitisation of Kenyans’ savings in the NSSF to meet its financial and development obligations.

He was speaking at a breakfast meeting with administrative officers at State House in Nairobi during the launch of the Jukwaa la Usalama Report on Tuesday this week.

Other initiatives the government has taken include shifting some loan repayments from the US dollar to the Chinese yuan.

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However, Kenya’s recent decision to repay its Standard Gauge Railway (SGR) loan in yuan instead of the traditional US dollar prompted a warning from the IMF over potential currency risks.

According to the IMF, switching currencies can be a proactive approach to debt management, but countries must ensure that the benefits of such moves do not create new vulnerabilities.

“While these transactions may lower costs, they can also introduce currency risks depending on their structure,” a spokesperson at the Washington D.C.-based lender told Bloomberg in November.

“The IMF encourages countries to consider such operations within comprehensive medium-term debt and reserve management strategies to ensure an appropriate balance between cost and risk,” the spokesperson added.

Kenya’s IMF Loans Ranked Seventh Largest Globally

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