Kenya Witnesses Slow Economic Growth of 5.6% in the Second Quarter

Kenya Witnesses Slow Economic Growth of 5.6% in the Second Quarter

The Port of Mombasa

Kenya’s economic growth grew by 5.6% for the second quarter of 2019 which was lower than 6.4% growth registered during the same quarter in 2018, the statistics office said on Monday.

This was attributed to slow growth in the agriculture sector, manufacturing, and transportation.

“Agriculture’s performance, as well as that of electricity and water supply, were mostly hampered by a delay in the onset of the long rains,” the Kenya National Bureau of Statistics said in a report.

“Transportation industry was negatively impacted by a rise in prices of fuel.”

Accommodation and food services; information and communication; wholesale and retail trade; and construction industries maintained high growths and thereby supported the overall GDP growth. This was attributed to an improved political environment in the country and marketing strategy put in place.

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Information and communication sector posted the fastest growth of 11.6 percent during the review quarter followed by accommodation and food services and construction which recorded growths of 10.6 percent and 7.2 percent, respectively. 

Financial and insurance sector registered the most improved growth of 2.1 percentage points followed by the construction sector whose growth improved by 1.8 percentage points.