July 9, 2009
Kenyan companies handed US$50 million credit for US food imports
It is now easier for Kenyan businesses to buy foodstuffs from the US following Washington's decision to provide credit guarantees for importation by the private sector, the Daily Nation newspaper has reported.
The US government Monday announced a US$50 million, or 3.9 billion Kenyan shillings, credit guarantee for use by Kenyan importers to finance imports of US agricultural commodities.
"Due to erratic rains in most parts of the country, domestic production of corn, our main staple food crop, remains challenged," Kenyan Finance Minister Uhuru Kenyatta is quoted as saying by the daily Tuesday (Jul 7).
"Therefore, we as a country are likely to continue to import food commodities for sometime to ease availability of supplies," Kenyatta said. The government has agreed to extend the duty-free facility for corn from end of December 2009 to January 16, 2010, he added.
