Kenya has asked the World Bank for emergency financial support to help manage the economic shock caused by the ongoing war in Iran, according to its central bank governor.
The request comes as the conflict disrupts global energy supplies and drives up oil prices, creating serious pressure for countries like Kenya that depend heavily on imported fuel. Rising fuel costs are already pushing up the price of goods and increasing the risk of inflation across the economy.
Central Bank Governor Kamau Thugge described the funding request as “significant,” though he did not disclose the amount. The support would be part of the World Bank’s rapid-response financing, which is designed to help countries deal quickly with crises. It would also come on top of existing budget support Kenya was already negotiating with the World Bank before the conflict began.
The government is already taking steps at home to reduce the impact on citizens. These include cutting fuel taxes temporarily to lower prices. Despite pressure on the economy, Kenya’s currency has remained relatively stable, supported by strong foreign exchange reserves of over $13 billion.
Still, the situation remains uncertain. If high oil prices continue, the country could face further inflation, currency pressure, and slower economic growth. Like many emerging economies, Kenya is now trying to balance protecting its economy while managing the global ripple effects of the war.