NAIROBI (Xinhua) --
Kenya’s economy is projected to grow by 5.9
percent in 2016 and 6.2 percent in 2017, a report released on
According to the Kenya Economic Report
2016, the growth will only be achieved if there is a stable
macroeconomic environment, improved security as well as
structural reforms that enhance the business environment in the
various sectors in the economy.
"Growth is expected to be underpinned by expanded investments
and as well as a growth in household consumption," said the
The annual report which is published by the Kenya Institute
for Public Policy Research and Analysis provides an in depth
assessment of the status of the economy.
The Kenya Economic Report 2016 is the eighth edition.
The report noted that Kenya is likely to experience growth at
a higher rate compared to the Sub-Saharan Africa average.
The findings showed that developments in oil price towards
stabilization coupled with low inflation will likely result in
high economic growth in the medium term.
In addition, the growth of the mineral sector together with
the huge infrastructural investments is also expected to fuel
further economic expansion.
The study showed that in the past few years, public
expenditure has being growing at a faster rate compared to
revenue collected and so the level of public debt has increased.
"While Kenya’s public debt remains sustainable, there are
concerns over the need to maintain fiscal sustainability because
the current account deficit is relatively high," said the