Kenya has secured a $750 million Development Policy Operation loan from the World Bank to strengthen governance reforms, improve financial management and expand social protection for its most vulnerable citizens.
The World Bank said in a statement released on Tuesday, the Kenyan capital, that the financing package comprises a 340 million dollar loan from the International Bank for Reconstruction and Development and a 410 million dollar highly concessional credit from the International Development Association.
It said the funding will contribute to Kenya’s efforts to establish the regulatory certainty required to create jobs, attract private investment, and lift people out of poverty.
According to the World Bank, the Second Kenya Fiscal Sustainability and Resilient Growth Development Policy Operation supports the country’s reform program to make public resources more transparent, efficient, and equitable while reducing corruption.
The global lender said the program safeguards Kenya’s most vulnerable populations by supporting the Social Protection (General) Regulations 2026, which establish a clearer framework for delivering social assistance.
The World Bank urged Kenya to sustain the momentum of these reforms to ensure long-term fiscal and debt sustainability while reaffirming its commitment to partnering with the country to build a more transparent, resilient, and inclusive economy.
According to the Kenyan government, the funds will be channeled through the Treasury Single Account in a move to improve oversight of public finances by reducing idle cash in fragmented accounts, limit costly overdrafts, and give the Treasury a clearer view of government cash balances.
The program also supports the expansion of electronic government procurement to improve transparency, competition and accountability in public contracting. The government said digitizing procurement is expected to reduce corruption risks, improve auditability and lower procurement costs.
MG/abj/APA