In-Depth Analysis
Kenya
Kenya is the largest and most sophisticated economy in East Africa. After independence, Kenya promoted economic growth by providing incentives for industrial investment and encouraging smallholder agricultural production. The country is extremely vulnerable to weather shocks and struggles with a precarious fiscal position.
We estimate that the economy grew by 7.6% in 2021 and foresee an economic expansion of 4.2% in 2022. Our outlook is underpinned by resilient growth in the services and industrial sectors. Key downside risks to our outlook include the country’s low vaccination rate, the upcoming presidential elections, fiscal mismanagement, tighter external financing conditions, and the ongoing drought. (Source: Kenya Quarterly Update, published February 2022.)
Macroeconomic Data
(2021)
|
Fiscal Balance (as a % of GDP) |
-7.5 |
|
Consumer Price Index (% change y-o-y, avg) |
6.1 |
|
Current Account Balance (as a % of GDP) |
-5.7 |
|
Real GDP (annual % change) |
7.6 |
|
GDP per Capita, US$ |
1,995.0 |
|
Import Cover (months) |
4.84/p> |
|
Population, million |
55.0 |
| Total External Debt (as a % of GDP) |
40.1 |