The East African nation of Kenya has a population estimated at 46.1 million, which increases by an estimated one million a year. With
Kenya is scheduled to hold its second election under the new constitution on August 8, 2017. Devolution remains the biggest gain from the August 2010 constitution, which ushered in a new political and economic governance system. It is transformative and has strengthened accountability and public service delivery at local levels. The government’s agenda is to deepen the implementation of devolution and strengthen governance
The World Bank’s most recent Kenya Economic Update (KEU) October 2016 projected a 5.9% growth in 2016, rising to 6% in 2017. The key drivers for this growth
According to the latest Kenya National Bureau of Statistics (KNBS) quarterly report, Kenya’s economy expanded by 5.7% in the third quarter of 2016 compared to 5.8% in the same period in 2015. The quarterly report says that the economic growth was well spread although most of the sectors of the economy recorded slowed growth. The tourism and hotel industry, information and communications, and public administration are among the sectors that registered improved growth during the quarter. Inflation was contained within the Central Bank's target to average at 6.3% compared to an average of 6.14% during the same quarter in 2015. The slight increase in inflation was primarily due to increases in the prices of food and beverages during the period under review.
According to the Kenya National Bureau of Statistics (KNBS) report, the amendment of the Banking Act in August 2016 to cap the lending rates to a maximum of 4%above the Central Bank Rate (CBR) resulted in a substantial decline in the interest rates during the month of September to 13.84% from 16.75% in the same month of 2015.
Kenya has met a few of the Millennium Development Goals (MDGs) targets, including reduced child mortality, near universal primary school enrolment, and narrower gender gaps in education. Interventions and increased spending on health and education are paying dividends. While the healthcare system has faced challenges recently, devolved health care and free maternal health care at all public health facilities will improve health care outcomes and develop a more equitable health care system.
Kenya has the potential to be one of Africa’s great success stories from its growing youthful population, a dynamic private sector, a new constitution, and its pivotal role in East Africa. Addressing challenges of poverty, inequality, governance, climate change, low investment and low firm productivity to achieve rapid, sustained growth rates that will transform lives of ordinary
Last Updated: Mar 07, 2017