World Bank cuts Kenya’s 2024 growth forecast to 4.7% due to debt and protests
The World Bank has lowered Kenya's 2024 economic growth forecast to 4.7%, down from an earlier estimate of 5%.
It said challenges like floods, anti-government protests, and high debt are slowing the economy.
The report said Kenya has made progress in stabilizing its currency, boosting foreign reserves, and lowering inflation. However, the country is still struggling with high debt and low revenue collection.
In June, protests forced President William Ruto to abandon planned tax increases. The government had hoped to raise more money, but the protests scared investors and disrupted the economy.
The World Bank also warned that floods earlier this year caused major damage, while high interest rates are making it harder for businesses and people to repay loans.
Despite the challenges, the World Bank said Kenya’s economy could grow to 5.1% in the coming years if the government addresses its financial problems and creates better jobs for its people.
