Kenya’s trade deficit widened by Sh59.5 billion in the year ending December 2025, rising from Sh1,59 trillion in 2024 to Sh1.65 trillion.
The jump, equivalent to a 3.7 per cent increase, was driven by import growth outpacing export earnings, according to the latest Kenya National Bureau of Statistics (KNBS) data.
Export earnings from domestic goods rose by 3.8 per cent to Sh967.9 billion, largely supported by improved receipts from key export commodities.
These include animal and vegetable oils (41.5 per cent), unroasted coffee (35.5 per cent), articles of apparel and clothing accessories (11.4 per cent), and horticulture (6.3 per cent).
However, several traditional export earners recorded notable declines.
Earnings from titanium ores and concentrates plunged from Sh13.7 billion in 2024 to Sh1.7 billion in 2025 due to reduced export volumes.
Tea revenues also declined by 1.1 per cent to Sh187.1 billion, while medicinal and pharmaceutical products dropped by 15.9 per cent to Sh16.7 billion.
Other key export categories also weakened during the review period, with tobacco and tobacco manufactures falling by 40.9 per cent, cement by 39.7 per cent and articles of plastics by 15.3 per cent.
On the import side, expenditure rose by 2.5 per cent to Sh2.772 trillion in 2025 from Sh2,706 trillion a year earlier, driven by strong demand for capital goods and raw materials.
Industrial machinery imports grew by 24.6 per cent to Sh389.9 billion, road motor vehicles rose by 33.1 per cent to Sh131.6 billion, while iron and steel imports increased by 29.8 per cent to Sh132.1 billion, largely supported by construction activity, including affordable housing projects.
At the same time, some import categories declined, helping cushion the overall import bill.
Petroleum products fell by 7.4 per cent to Sh511.5 billion due to lower global oil prices and a relatively stable shilling, while imports of rice dropped by 18.9 per cent and unmilled wheat contracted sharply by 51.3 per cent.
Imports of aircraft and related equipment also declined by 28.4 per cent, alongside an 18.2 per cent fall in medicinal and pharmaceutical products.
