NEW IMF REPORT SAYS KENYA DOING WELL IN FISCAL MANAGEMENT, TRANSPARENCY

Kenya is performing well in fiscal management and transparency according to a report released by the International Monetary Fund (IMF).

IMF financial management expert Richard Allen says the production and dissemination of Kenya’s annual fiscal statistics meet the code’s advanced practice. Across its three pillars, 13 of the code’s 36 principles are rated as either good or advanced while 16 principles are rated basic.

The evaluation was carried out at the request of the Kenyan government by a team from the Fund’s Fiscal Affairs Department in September 2014, using information for the fiscal year 2012/13.

According to the report released Tuesday, Kenya performed well against many of the standards set by the IMF’s Fiscal Transparency Code.

Allen says the report finds the production and dissemination of annual fiscal statistics satisfying the code’s advanced practice. Most other aspects such as consolidated fund accounts, ministries, departments, state corporations, government agencies, development projects and counties are in line with the code’s basic practice.

However, there is no reporting of the government’s balance sheet in fiscal reports, although basic information on public debt and cash deposit is provided, thus there is still more work to be done to ensure a proper balance sheet.

Referring to the debt issue, IMF officials say the country’s debt is still sustainable in view of its strong growth of 5.8 per cent and more capital expenditure on development projects.

Kenya and Mozambique are among the countries in Africa which have successfully carried out the assessment. Other countries which have carried out the assessment exercise include Ireland, Portugal, Finland and Ukraine.

Source: Nam News Network