Former Public Service Cabinet Secretary Moses Kuria has issued a warning about the value of the Kenya shilling falling to Ksh170 against the dollar.
Speaking during an interview on Citizen TV on Monday, Moses Kuria stressed the need for capital injection from the International Monetary Fund (IMF) for the shilling to remain stable against the US dollar.
According to Kuria, Kenya’s economy is not in good condition, especially after the rejection and withdrawal of the controversial Finance Bill 2024.
He explained that Kenya may continue relying heavily on international financial institutions like the IMF and the World Bank.
“If the IMF does not come through by the end of this month, in another 19 days, this shilling might hit 170, the dollar might hit 170 to the shilling. On Sunday when I go to church I will say a prayer for John Mbadi to hope that IMF stays engaged on this,” said Kuria.
The former CS added that President William Ruto should maintain Kenya’s standing with the global lenders.
“The president must invoke his political capital on the global stage, something he has been doing well,” Kuria stated.
Kuria emphasized that the newly appointed Treasury CS John Mbadi should come up with strategies to navigate the financial storm in the country.
According to Kuria, Mbadi must ensure that Kenya secures the anticipated $1.4 billion (about Ksh181.3 billion) from the IMF.
In addition, he advised the Treasury CS to manage the financial challenges, particularly the maturing loans that need to be addressed soon.
Kenya is expecting about Ksh181.3 billion from the IMF this financial year, according to Central Bank of Kenya (CBK) Governor Kamau Thugge.
The funds will play a key role in stabilizing Kenya’s economy, especially after the economic challenges as a result of the recent protests in different parts of the country and the withdrawal of the Finance Bill 2024.
