/ 15 November 2000

KENYA’S BACK AGAINST THE WALL

DONORS look set to grant Kenya a debt rescheduling deal to help its economy recover from the effects of a devastating drought, analysts say. President Daniel arap Moi’s government has cut forecasts for growth in the financial year ending June 2001 to just 0.5% from an earlier projection of 2.3%. Finance Minister Chris Okemo will ask Paris Club creditors this week to reschedule payments due on Kenya’s external debt of 344bn shillings .He estimates that in the 2000/2001 (July-June) financial year, total external debt payments will reach 31.1bn shillings for principal and nine billion shillings in interest. – Reuters