Written By Lisa Murimi
In response to growing discontent over Kenya’s escalating debt levels, the World Bank has made a strategic move by appointing Qimiao Fan as the new Country Director for Kenya and three other East African nations.
This decision comes at a crucial time when the lender is facing backlash from Kenyan lawmakers and citizens who are critical of what they perceive as reckless lending practices.
Fan, a seasoned development expert with over 35 years of experience, will assume his role on September 1, 2024, signaling the World Bank’s commitment to stabilizing its relationship with Kenya, a country deeply enmeshed in the financial web of the institution.
As Kenya’s largest lender, the World Bank holds significant sway in the nation, with Kenya currently owing the bank approximately Ksh1.5 trillion, backing 36 ongoing projects valued at over Ksh950 billion.
The appointment of Fan is seen as a strategic move to address the growing skepticism surrounding the lender’s involvement in Kenya’s economic affairs.
The relationship between Kenya and international lenders, including the World Bank, has been strained following the rejection of the Finance Bill 2024 by Kenyans.
The government subsequently announced plans to borrow Ksh1.2 trillion this year, further intensifying concerns about the country’s debt burden.
Fan’s appointment underscores the World Bank’s resolve to navigate its complex relationship with Kenya amid mounting criticism.
As he steps into his new role, all eyes will be on Fan as he seeks to steer the World Bank’s engagement in Kenya towards a more sustainable and mutually beneficial path.
