The country’s economy is projected to grow by 6.2 percent in 2018, the Central Bank of Kenya has said.
Central Bank Governor Patrick Njoroge attributed the significant growth to improved weather conditions and a boost in business and consumer confidence following the conclusion of general elections in 2017.
In the first quarter of 2018, the economy expanded by 5.7 percent compared to 4.9 percent in a similar quarter of 2017.
“We are having a good year so far; there is sustained improvements in economic fundamentals, there’s a strong pickup in economic activity and favourable weather conditions among other gains,” Njoroge told a press briefing on Tuesday.
The CBK’s projections offer a rosier outlook than the Finance Ministry which expects growth of 5.8 percent.
While quoting a CBK sponsored survey, the governor also revealed that credit to the private sector grew by 4.3 percent in the 12 months to June 2018, compared to 2.8 percent in April 2018.
“Growth in private sector credit is expected to pick up gradually with the continued recovery of the economy,” he said.
Njoroge, however, noted there were risks including an international trade war and a cap on commercial lending rates at home.