KENYA
Debt Treatment
-
January 15, 2004
|
Supporting aggreements with the international institutions
|
program with the IMF
approved on
November 21, 2003
|
|
Total external debt of the country
|
$5200 million
as of
December 31, 2002
,
representing
121%
outstanding debt in net present value in % of export receipts
$1919 million
of which being due to the Paris Club as of
December 31, 2003
|
|
Amounts treated
|
$353 million
|
|
Categories of debts treated
|
treatment of arrears as of
December 31, 2003
,
treatment of maturities falling due from
January 01, 2004
up to
December 31, 2006
|
|
Repayment profile
|
treatment under
Houston terms
-
repayment of non ODA credits over
15
years
,
with
5
years of grace
-
repayment of ODA credits over
20
years
with
10
years of grace
|
|
Specific provisions
|
possibility to conduct debt swaps
On a voluntary and bilateral basis, the Government of each Participating Creditor Country or its appropriate institutions may sell or exchange, in the framework of debt for nature, debt for aid, debt for equity swaps or other local debt swaps:
(i) all ODA loans;
(ii) amounts of outstanding credits, loans and consolidations, other than ODA loans, on debts mentioned in paragraph 1 above, up to 20% of the amounts of outstanding claims as December 31, 1993 or up to an amount of 20 million SDR, whichever is higher.
Participating Creditor Countries and the Republic of Kenya will inform semi-annually the Secretariat of the Paris Club, who will inform other creditors, of the debt swap agreements they have implemented. All elements necessary to evaluate the operation, its impact on the Republic of Kenya's economy and on the evolution of creditor's exposure will be transmitted to the Secretariat, including: its nature and purpose; the parties to the debt swap; the amount, type and value of the debt treated; the price of sale to investors and the expense to the Republic of Kenya.
Phases
-
First phase :
From
January 01, 2004
up to
December 31, 2004
implemented at the signature of the agreement
-
Second phase :
From
January 01, 2005
up to
December 31, 2005
implemented at
December 27, 2004
-
Third phase :
From
January 01, 2006
up to
December 31, 2006
implemented at
May 15, 2007
de minimis threshold of
1 000 000
SDR
payment of non-consolidated amounts before
July 01, 2004
|
|
Comparability of treatment provision
|
In order to secure comparable treatment of its debt due to all its external public or private creditors, the Government of the Republic of Kenya commits to seek promptly from all its external creditors a rescheduling or a refinancing on terms comparable to those set forth in the present Agreed Minute, while trying to avoid discriminations among different categories of creditors.
The Government of the Republic of Kenya agrees to accord all categories of creditors -and in particular creditor countries not participating in the present Agreed Minute, and private creditors- a treatment not more favourable than that accorded to the Participating Creditor Countries.
The Government of the Republic of Kenya will inform in writing the Chairman of the Paris Club not later than July 1, 2004 of the status of its negotiations and of the contents of its bilateral agreements with other creditors. The Government of the Republic of Kenya will further inform in writing regularly the Chairman of the Paris Club of the status of its negotiations with other creditors, as well as of the payments made to them.
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Cutoff date
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December 31, 1991
|
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Organisation of the session
|
The meeting was chaired by
Mme Stéphane Pallez,
Co-Président of the Paris Club
The head of the debtor country's delegation was
M. David Mwiraria,
Minister for Finance
Participating creditors
BELGIUM
,
CANADA
,
DENMARK
,
FRANCE
,
GERMANY
,
ITALY
,
JAPAN
,
NETHERLANDS
,
UNITED KINGDOM
,
UNITED STATES OF AMERICA
Observers
AUSTRIA
,
FINLAND
,
NORWAY
,
SPAIN
,
SWEDEN
,
SWITZERLAND
,
IMF
,
UNCTAD
,
World Bank
Press release
Read the press release
Download the press release in PDF
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