World Bank urges Kenya to implement anti-corruption reforms tied to a $750 million loan package aimed at improving transparency and growth
NAIROBI: The World Bank on Thursday urged Kenya to implement a raft of anti-corruption reforms demanded under its latest $750 billion lending package.
Corruption is considered endemic at every level of Kenyan public life, from police shaking down drivers at traffic lights to procurement scandals at government level, and it has contributed to massive protests over the past two years.
The World Bank finally approved its latest lending package to Kenya on June 29 after it was stalled throughout 2025 because the government was dragging its feet on anti-corruption measures.
“Every shilling lost to weak controls, to corruption, to poor procurement means a shilling not to going to schools, roads or health clinics,” Qimiao Fan, the World Bank’s director for Kenya, told reporters.
He outlined four reforms that the bank has insisted upon.
They include rules against politicians having conflicts of interest, a new electronic procurement system to make public works tenders more transparent, and a single Treasury account that can be more easily monitored.
It has also demanded the passing of a Whistleblower Protection Bill that has been stalled for years.
Despite progress, implementing the conflict of interest rules may prove difficult, and the whistleblower bill is expected to face strong opposition from members of parliament.
But Fan said the country had no choice if it wanted to boost growth and curb the anger of ordinary citizens.
“The 2024 protests showed that Kenyans are demanding… fair and transparent fiscal management that delivers quality public services,” he said, of the demonstrations triggered by tax rises that led to hundreds storming parliament in June 2024.
“You can’t ask citizens to tighten their belts without proof that money they contribute through taxes is being managed honestly, efficiently and for the public good,” said Fan.
The latest World Bank report showed Kenya’s economy grew by 4.6 percent, but continued to struggle with high levels of debt and low employment in the formal sector for its rapidly growing population.
In addition, rising fuel and food prices caused by the Middle East War may have pushed an additional one million people below the poverty line, according to the bank’s estimates.
