Economy of Kenya
The economy of Kenya is market-based with a few state enterprises. Kenya has an emerging market and is an averagely industrialised nation ahead of its East African peers. Currently a lower middle income nation, Kenya plans to be a newly industrialised nation by 2030. Major industries within the Kenyan market include financial services, agriculture, real estate, manufacturing, logistics, tourism, retail and energy. As of 2020, Kenya had the third largest economy in Sub-Saharan Africa, behind Nigeria and South Africa. Regionally, Kenya has had a stronger and more stable economy compared to its neighboring countries within East Africa.By 2023, the country had become Africa's largest start-up hub by both funds invested and number of projects.
| Currency | Kenyan shilling (KES, KSh) |
|---|---|
Trade organisations | AU, AfCFTA, EAC, COMESA, CEN-SAD, WTO and others |
Country group |
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| Statistics | |
| Population | 51,526,000 (2023 est.) |
| GDP |
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| GDP rank |
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GDP growth |
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GDP per capita |
|
GDP per capita rank |
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GDP by sector |
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| 7.9% (2022est.) | |
Population below poverty line | 14% ( 2022 est.) |
| 41.6 high (2018 est.) | |
| |
Labour force |
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Labour force by occupation |
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| Unemployment | 2.98% (2020 est.) |
Main industries | Consumer goods (plastic, furniture, batteries, textiles, clothing, soap, cigarettes, flour, confectionery), pharmaceuticals, agricultural products, horticulture, oil refining; aluminium, steel, lead; cement, commercial ship repair, tourism, information technology |
| External | |
| Exports | $5.792 billion (2017 est.) |
Export goods | Tea, horticultural products, coffee, petroleum products, fish, cement, apparel |
Main export partners |
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| Imports | $15.99 billion (2017 est.) |
Import goods | Machinery and transportation equipment, oil, petroleum products, motor vehicles, iron and steel, resins and plastics |
Main import partners | |
FDI stock |
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| −$5.021 billion (2017 est.) | |
Gross external debt | $27.59 billion (31 December 2017 est.) |
| Public finances | |
Government debt | 54.2% of GDP (2017 est.) |
| −6.7% (of GDP) (2017 est.) | |
| Revenues | 21.89 billion (2022 est.) |
| Expenses | 26.93 billion (2022 est.) |
Credit rating |
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| $7.354 billion (31 December 2017 est.) | |
The government of Kenya is generally investment-friendly and has enacted several regulatory reforms to simplify foreign and local investment, including the creation of an export processing zone. An increasingly significant portion of Kenya's foreign financial inflows are remittances by non-resident Kenyans who work in the United States, the Middle East, Europe and Asia.
As of September 2018, economic prospects were positive, with above 6% gross domestic product (GDP) growth expected. This growth was attributed largely to expansions in the telecommunications, transport, and construction sectors; a recovery in agriculture; and the rise of small businesses helping to pull the economy. These improvements are supported by a large pool of highly educated professional workers. There is a high level of IT literacy and innovation, especially among young Kenyans.
In 2020, Kenya ranked 56th in the World Bank ease of doing business rating, up from 61st in 2019 (of 190 countries). Compared to its neighbours, Kenya has a well-developed social and physical infrastructure.