WK

Attended the launch of the World Bank’s 34th Kenya Economic Update, which identifies governance constraints as the main reason for Kenya’s economic underperformance. Effectively tackling corruption could boost GDP growth by 20% by 2035 and create 7.7 million new jobs. It also reveals that the cost of Kenya’s Standard Gauge Railway (SGR) was inflated by more than US$300 million compared to similar projects in Ethiopia and Tanzania. Kenya’s GDP growth has declined from 5.7% in 2023 to 4.4%. The fiscal deficit stands at 6.8% of GDP, inflation has risen from 4.6% last year to 7.3%, public debt is at 72% of GDP, and the current account deficit has widened from 2.8% last year to 4.3%. The poverty rate stands at 4.3%.