*WEEKLY PFM UPDATES!* *Kenya’s Debt sustainability* On 25th January 2025, Moody's changed Kenya's credit outlook from 'negative' to 'positive', citing potential eased liquidity risks and improved debt affordability. With this review, the African Peer Review Mechanism (APRM), an entity of the African Union, criticised Moody's for its earlier premature and speculative downgrade in July 2024, which is argued to have raised borrowing costs and weakened investors' confidence in Kenya. On 31st January Fitch affirmed Kenya’s Long-Term Foreign-Currency Issuer Default Rating (IDR) at ‘B-’ with a stable outlook. The stable outlook illustrates moderated debt burden because of Kenya’s currency appreciation against the US dollar .