- The Central Bank of Kenya reported that forex reserves have reached a record $9.5 billion, equivalent to 4.4 months of import cover.
On November 14, 2024, Hussein Mohammed, the State House spokesperson shared significant updates highlighting the strides made under President William Ruto's administration in achieving economic stability.
The reports underscore a resilient economy, marked by metrics and strategic reforms aimed at fostering growth and improving living standards for Kenyans. Kenya's economy demonstrated notable resilience, recording a growth rate of 5.6% in 2023. Projections indicate a slight moderation to 5.0% in 2024, with expectations of returning to 5.6% in 2025.
A significant highlight of the economic updates is the control of inflation, which has plummeted from 9.6% in September 2022 to just 2.7% in October 2024. This marks the lowest inflation rate in Kenya since 2007, providing relief to consumers and contributing to a more stable economic environment. Moreover, efforts to lower food prices are evident, with the cost of essential goods like a 2kg packet of maize falling to KSh124, down from KSh176 the previous year.
The Central Bank of Kenya reported that forex reserves have reached a record $9.5 billion, equivalent to 4.4 months of import cover.
The Kenya Revenue Authority recorded an 11.5% increase in tax collections as of June 2024. Additionally, the Kenyan Shilling has stabilized at KSh129 to the USD, a notable improvement from KSh162 earlier in the year.
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These updates reflect broader macroeconomic improvements stemming from the administration's fiscal management and reforms under the Bottom-Up Economic Transformation Agenda (BETA).
The government has implemented fiscal consolidation measures with the goal of reducing the budget deficit by 50% by 2027, aiming for a more sustainable fiscal environment.
