Kenya’s GDP Growth Projected to Increase by 5.7% Following Decline in Political Uncertainty

Kenya’s GDP growth is projected to increase to 5.7% during the first quarter of 2018, the latest report from the Institute of Chartered Accountants in England and Wales (ICAEW) has revealed. The analysis, dubbed ‘Economic Insight: Africa Q1 2018’, was launched this week. In the report, the accountancy and finance body points to the easing of political tensions within the country as the biggest factor that will contribute to this growth.

The report, commissioned by ICAEW and produced by partner and forecaster Oxford Economics, provides an analysis of the African continent’s economic performance. The report provides a regional overview, and focuses on South Africa and Zimbabwe.

According to the report, Kenya’s GDP growth projection is expected to rise to 5.7%, an improvement from the previous quarter’s 4.6% growth projection. Despite the improved projections, Kenya’s growth is still moving at a slower pace than regional competitors Tanzania, Ethiopia, and Uganda.

“The period of political uncertainty that plagued Kenya’s economy is gradually fading and this bodes well for the country’s economic prospects. However, Kenya still has some distance to go before it matches the growth seen in other EAC nations,” said Michael Armstrong, Regional Director of ICAEW for the Middle East, Africa and South Asia.

ICAEW is a world leading professional membership organisation that promotes, develops and supports over 144,000 chartered accountants worldwide.

Oxford Economics is one of the world’s foremost advisory firms, providing analysis on 200 countries, 100 industries and 3,000 cities.

Source: Footprint to Africa

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