Kenya is navigating a delicate path to secure new financial backing from the International Monetary Fund, as officials work to address barriers that have stalled a replacement for the country’s expired $3.6 billion programme, Reuters reports.

Finance Minister John Mbadi said the government sees the move as a mechanism to manage debt sustainably, avoiding additional fiscal strain. The IMF, however, has signalled that any new borrowing would need to be treated as standard debt, creating a key point for negotiation.

The request follows discussions in Washington last month, itself a follow-up to a September IMF mission to Nairobi. Analysts suggest that a renewed deal could anchor Kenya’s external repayments and bring clarity to investors monitoring the country’s debt trajectory.

Some government officials have indicated that the forthcoming programme may include a lending component, reflecting both the urgency of external obligations and Kenya’s broader economic strategy.