Kenya’s economy is projected to expand by 6.5 percent in 2015, up from 5.3 percent in 2014, a pan- Africa bank said on Tuesday. AfDB
African Development Bank (AfDB) Group East Africa Resource Center Director Gabriel Negatu told a media briefing in Nairobi that the growth will be fueled by increased agricultural output following optimum rains.
“Economic expansion will also be accelerated by Kenya’s stable prices as well as the reduced cost of doing business through investments in infrastructure,” Negatu said during the release of the 2015 African Economic Outlook.
Kenya’s projected growth is well above Africa’s average target growth of 4.5 percent in 2015, according to the bank.
Negatu said Kenya remains a major player in regional integration and is making appropriate investments to reap benefits for regional integration.
AfDB said that the East African nation is now the regional hub for financial services and Information Communication Technologies (ICT).
“Kenya continues to attract investment leading to the development of an ICT enabled economy,” Negatu said, adding that the biggest risk facing Kenya is the insecurity largely caused by terrorism.
“Repeated terror attacks is hampering Kenya’s growth and could prevent the nation from fulfilling its fullest potential,” he said.
The AfDB official urged Kenya to ensure regional, age and gender – based inclusion so that all citizens benefit from economic growth regardless of their background.
He noted that good efforts have already been made through several initiatives. However, these actions are necessary but not sufficient,” Negatu said, adding that Kenya’s 2015/2016 budget attempts to address some of the inclusion challenges. Enditem

-Xinhua

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