Kenya, World Bank Deepen Ties to Accelerate Economic Transformation

By Dr. Chris Kiptoo, Principal Secretary, National Treasury

Washington, D.C., October 14, 2025 — Kenya has reaffirmed its strong development partnership with the World Bank Group during high-level discussions held on the sidelines of the 2025 IMF and World Bank Annual Meetings in Washington, D.C.

In a bilateral meeting held today, the Cabinet Secretary for the National Treasury and Economic Planning, Hon. John Mbadi, Central Bank Governor Dr. Kamau Thugge, and I met with Dr. Ndiamé Diop, World Bank Group Regional Vice President for Eastern and Southern Africa, to review Kenya’s economic progress and chart a path for deeper collaboration.

The meeting highlighted Kenya’s impressive macroeconomic performance, including stable inflation, a resilient exchange rate, modest interest rates, and external reserves covering over five months of imports. These indicators reflect a recovering and stabilizing economy, bolstered by ongoing Liability Management Operations aimed at reducing debt vulnerabilities and improving investor confidence.

We also shared updates on the Government’s efforts to clear pending bills, a policy move that has revitalized the construction sector and restored confidence among contractors and suppliers. This initiative forms part of a broader strategy of fiscal consolidation and expenditure rationalisation under the leadership of H.E. President Dr. William Samoei Ruto.

Discussions also focused on the progress of World Bank-supported reforms under the Development Policy Operations (DPO). These include the national rollout of an e-procurement system, improved governance frameworks for State-Owned Enterprises (SOEs), and the finalisation of regulations on Conflict of Interest and Social Protection, all of which aim to enhance transparency and accountability in public finance management.

To ensure efficient delivery of development projects, both parties agreed to strengthen coordination between the World Bank, the National Government, and County Governments through regular portfolio reviews. This move is expected to help address implementation bottlenecks and accelerate the absorption of development funds.

Kenya also reaffirmed its commitment to creating jobs for youth through key initiatives in digitalisation, agro-processing, value addition, and affordable housing. These sectors are central to the Bottom-Up Economic Transformation Agenda (BETA), which continues to guide the Government’s inclusive growth strategy.

"The World Bank remains a key ally in our mission to deliver a more resilient, inclusive, and prosperous Kenya," said Dr. Kiptoo. "Our discussions today reaffirm that partnership and set the stage for even greater collaboration in the years ahead."