Kenya has requested a new funding program from the IMF after deciding not to proceed with the final review of its current USD 3.6 bln, four-year program. This has led to negative investor reactions, with yields on Kenya’s dollar bonds rising and the Kenyan shilling depreciating. In the next budget year, Kenya plans to reduce foreign loans to 18% of the total and projects a fiscal gap of 4.9% of GDP in the current year and 4.3% in the next.