IMF Initiates Governance Review in Kenya to Combat Corruption and Enhance Economy
The IMF has launched a review to address governance and corruption issues in Kenya, which is expected to assist the government in implementing necessary reforms for economic growth. This initiative, prompted by public demands for accountability, includes a scoping mission focusing on key sectors vulnerable to corruption. President Ruto plans to propose legal amendments by July 2024 to enhance the fight against corruption amid rising living costs.
The International Monetary Fund (IMF) has initiated an official review of governance and corruption issues in Kenya, as announced by Prime Cabinet Secretary Musalia Mudavadi. This technical assessment aims to aid the Kenyan government in implementing essential reforms to combat corruption and enhance economic growth. Mudavadi expressed appreciation for the IMF’s responsive action to Kenya’s request for a Governance Diagnostic Assessment, starting with a scoping mission to be followed by a complete assessment later this year.
The decision to engage the IMF follows pressures on President William Ruto from young activists advocating for accountability. In response, President Ruto has committed to proposing legal amendments by July 2024 to address corruption-related legal loopholes. These amendments intend to address the behavior of corrupt officials and limit extravagant government expenditure, particularly amid rising living costs in the country.
The IMF has encouraged Kenya to enhance efforts to address various economic challenges, particularly following taxation reforms that led to widespread protests in June 2024. The scoping mission conducted by the IMF will focus on assessing corruption vulnerabilities within six essential sectors: fiscal governance, central bank operations, financial sector oversight, market regulation, rule of law, and anti-money laundering measures, as well as combating the financing of terrorism.
In summary, the IMF’s governance review in Kenya represents a significant step toward addressing corruption and improving economic performance. The initiative responds to governmental and public pressures for accountability, highlighting the urgency of legal reforms. Ultimately, the findings from this assessment are anticipated to support Kenya in navigating its economic challenges more effectively.
Original Source: www.socialnews.xyz
