KENYA DEBT SERVICING TO ABSORB MOST AID - MOI
Rising service payments on Kenya's three
billion dlr external debt will absorb nearly all the 1.1
billion dlrs of foreign aid likely over the next four years,
President Daniel arap Moi said.
    "While we expect to receive 18.3 billion Kenyan shillings in
the form of external loans for our development programs in the
next four years, we will be repaying more than 13.5 billion...
By way of external debt servicing...," Moi told a conference of
American businessmen in Nairobi.
    The president added that if developing countries continue
to experience foreign exchange outflows on this scale, many
will be unable to sustain a level of imports necessary to
ensure economic growth. He called on the international
community to ensure a real transfer of resources from the
industrialised to the developing countries.
    Moi said Kenya had so far met all obligations regarding its
foreign debt, which his government has never tried to
reschedule.
 REUTER
