Kenya Showcases AI-Driven Fiscal Transformation at Global Forum

 

 Artificial Intelligence (AI) is rapidly redefining the landscape of public finance management across the globe. At the recently concluded 2025 MEFMI Combined Forum—held on the sidelines of the IMF and World Bank Annual Meetings in Washington, D.C.—Kenya had the honour of sharing its growing experience in leveraging AI to strengthen fiscal discipline, enhance transparency, and drive efficiency in resource management.

Under the timely theme “Artificial Intelligence in Macroeconomics,” the Forum brought together policymakers, economists, and technocrats from across Africa and beyond to exchange ideas on harnessing AI across macroeconomic domains, including fiscal policy, debt management, monetary policy, and financial regulation.

As a discussant at the Forum, I had the opportunity to present Kenya’s journey in integrating digital tools into public finance and to outline the promising role of AI in shaping the next chapter of our fiscal reforms.

Kenya has already made substantial strides in digitising public finance through systems like the Integrated Financial Management Information System (IFMIS), which has streamlined procurement, payment processing, and expenditure tracking. Building on this digital foundation, we are now exploring the integration of AI and machine learning to enhance revenue forecasting accuracy, detect anomalies in public expenditure, and support evidence-based budgeting.

AI-powered analytics offer the potential to generate accurate, real-time insights, enabling policymakers to align fiscal decisions more closely with economic realities. This not only reduces leakages and improves transparency but also supports the broader goal of sustainable and inclusive economic growth.

Our engagement at the Forum also reaffirmed that while AI offers immense promise, its successful adoption requires investments in data infrastructure, skills development, and robust governance frameworks to manage risks such as bias, cybersecurity threats, and data privacy concerns.

Kenya is committed to responsible and innovative adoption of AI in public finance. We are working closely with partners—including multilateral institutions, the private sector, and academia—to co-develop AI tools that are contextually relevant and that uphold public trust.

As AI continues to reshape how governments manage resources, Kenya is positioning itself as a regional leader in digital public finance transformation. The insights from the 2025 MEFMI Forum will play a pivotal role in informing our next steps as we strive to build a more agile, transparent, and resilient fiscal management system.