Kenyan Economy to Grow by in 2021 Says IMF
Even with clear indicators that the Covid 19 Pandemic has created economic turmoil especially in the manufacturing industy, the IMF forecasts growth in the economy in 2021.
Tobias Rasmussen, the IMF’s resident representative for Kenya, said Wednesday at a virtual investor conference organized by Renaissance Capital.
The IMF will release an updated Word Economic Outlook report next month, he said.
“We have seen an upturn in most activity indicators,” Rasmussen said. “Looking at the numbers coming out of Kenya it’s fair to say that the outruns here have so far been better than what we at the IMF expected.”https://www.bnnbloomberg.ca/imf-sees-surprise-upward-revision-of-kenya-s-economic-growth-1.1491409
This is despite the National Treasury indicating that the economy will slow down to at least 2.6% this year.
The mood is upbeat especially in the Agricultural sector. The flower industry has indicated that there has been a growth in revenue since June this year. It can be argued that President Uhuru Kenyatta was right when he supported the sending of free flowers to the UK and other EU countries.
The country is in talks with the World Bank for a loan to provide further budget support after receiving $1 billion in May, which followed a $750 million package approved in 2019.
Other than that, the government has also secured a $750 million financing from The World Bank Board of Directors. This is meant to improve the movement of people and goods, digital connectivity and access to social services for over 3.2 million people living in the North Eastern region where the Isiolo-Mandera Regional Road Corridor traverses.
The Kenya-HoAGDP is expected to take 6 years of implementation. The project is the first in a series of projects aimed at supporting the development of regional transport corridors and modal linkages under the Horn of Africa Initiative.https://www.worldbank.org/
This is great news for Kenyans especially in the agricultural industry. Experts estimate that as the country slowly opens up, with more industries such as Tourism, there will be a major boost for the country.
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