Kenya: Request for a Three-Year Arrangement Under the Extended Credit Facility-Staff Report; Press Release on the Executive Board Discussion; and Statement by the Executive Director for Kenya
IMF Staff Country Reports, February 10, 2011
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- Kenya: Request for a Three-Year Arrangement Under the Extended Credit Facility-Staff Report; Press Release on the Executive Board Discussion; and Statement by the Executive Director for Kenya
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Bibliographic details
- Published: February 10, 2011
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781455217762.002
Economic outlook and context
- Kenya’s economy is bouncing back following multiple shocks between 2008 and 2009.
- The publication date is February 10, 2011.
Program objectives and fiscal strategy
- The program targets a gradual reduction in the central government primary balance.
- Fiscal consolidation tools:
- Tax reform.
- Strict control of current spending.
- Debt objective:
- Bring the debt-to-GDP ratio below 45 percent at the end of the program period.
Tax policy reform priorities
- VAT reform.
- Streamlining tax incentives.
- Eliminating loopholes.
- Redesigning the tax structure is identified as a key priority despite significant strides in domestic revenue mobilization.