Kenyan economy to hit sh 10trn this year according to IMF

#1
The size of Kenya’s economy is projected to reach the Sh10.1 trillion mark this year, the latest statistical estimates by the International Monetary Fund (IMF) have shown.

This will mark the largest absolute expansion in recent years, with the gross domestic product (GDP) estimated to rise by Sh1.1 trillion from Sh9 trillion in 2018.

In percentage terms, the growth this year is estimated at 5.83 percent, a slight decrease from 5.95 percent last year.

Kenya’s net debt, which has sparked debate over its sustainability, is forecast to stand at Sh5.2 trillion this year compared to Sh4.6 trillion in 2018.

“Massive increases of public debt from where we are will have a negative impact in terms of taxes and interest rates,” Mr Bunyi said.

The forecast Sh10.1 trillion economy would raise the country’s GDP per capita (per person) by 9.2 per cent to Sh205,408 compared to last year’s Sh188,099.

Most of the growth will, however, be captured by the super-rich and individuals in high-paying professions in line with the country’s inequality trends.

Data from the Kenya National Bureau of Statistics (KNBS) shows that 1.9 million Kenyans, representing three-quarters of those working in the formal sector, earn a salary of below Sh50,000. Millions of others are unemployed and have unreliable income sources.

The government is under pressure to expand opportunities for its citizens whose numbers have swollen in recent years. The country’s population is projected to hit 49.3 million people this year, up from 48 million in 2018.

Read the whole article here

https://www.businessdailyafrica.com...n-this-year/539546-5072338-58942lz/index.html
 
#3
The size of Kenya’s economy is projected to reach the Sh10.1 trillion mark this year, the latest statistical estimates by the International Monetary Fund (IMF) have shown.

This will mark the largest absolute expansion in recent years, with the gross domestic product (GDP) estimated to rise by Sh1.1 trillion from Sh9 trillion in 2018.

In percentage terms, the growth this year is estimated at 5.83 percent, a slight decrease from 5.95 percent last year.

Kenya’s net debt, which has sparked debate over its sustainability, is forecast to stand at Sh5.2 trillion this year compared to Sh4.6 trillion in 2018.

“Massive increases of public debt from where we are will have a negative impact in terms of taxes and interest rates,” Mr Bunyi said.

The forecast Sh10.1 trillion economy would raise the country’s GDP per capita (per person) by 9.2 per cent to Sh205,408 compared to last year’s Sh188,099.

Most of the growth will, however, be captured by the super-rich and individuals in high-paying professions in line with the country’s inequality trends.

Data from the Kenya National Bureau of Statistics (KNBS) shows that 1.9 million Kenyans, representing three-quarters of those working in the formal sector, earn a salary of below Sh50,000. Millions of others are unemployed and have unreliable income sources.

The government is under pressure to expand opportunities for its citizens whose numbers have swollen in recent years. The country’s population is projected to hit 49.3 million people this year, up from 48 million in 2018.

Read the whole article here

https://www.businessdailyafrica.com...n-this-year/539546-5072338-58942lz/index.html

Which professions are this?
 
#9
If we can sustain this growth rate will surpass Morocco in 2023. And we'll be in the top 5 biggest economies in Africa.

The anticipation of Kenya becoming the new rising Simba is well underway. This will open many doors.
 
#10
This is obviously good news especially if you are wealthy and elite
KRA must go after the richest Kenyans with the same force Kenya police go after the poorest Kenyans. Will they? Can hyenas police hyenas?
If the government offers tax cuts in a way subsidizing the economy without subsidies. It will allow people's pockets to have a little something. That way businesses can grow and jobs created. Developing a mathematical formula that would allow that is very hard since our economy has very unknown variables like the informal sector.
 
#11
Uhuru doesn't give a fuccck about economy ,otherwise he would have done these two simple things that can seriously uplift millions of Kenyans and still earn government more taxes more money..

1.Reduce government spending in non essentials like travels and non performing parastatals.. Consequently reduce each ministry expenditure by 10%..this can save close to 100B per year

2.After saving this much ,government domestic borrowing will decrease, availing much needed cash to SMEs and Kenyans overall...banks will be hawking loans ..reducing cash crunch being experienced now..in turn government will earn more taxes from vibrant economy and revived SMEs

Lakini he is drunk,careless and was born in state house..he is not in touch with the common mwananchi..so don't have your hopes on him
 
#12
If the government offers tax cuts in a way subsidizing the economy without subsidies. It will allow people's pockets to have a little something. That way businesses can grow and jobs created. Developing a mathematical formula that would allow that is very hard since our economy has very unknown variables like the informal sector.
Yes...high taxation only kills SMEs..manufacturers.Trump reduced tax on investors and you can see the effects on jobs.
 
#13
If the government offers tax cuts in a way subsidizing the economy without subsidies. It will allow people's pockets to have a little something. That way businesses can grow and jobs created. Developing a mathematical formula that would allow that is very hard since our economy has very unknown variables like the informal sector.
They have done the contrary. Sme time last year and just upto last week if you bought anything from jumia that is ok imported from China in addition to vat they were charging a flat rate of shillings 252 customs duty per item. I think they have withdrawn the charges last week or so.
 
#14
Yes...high taxation only kills SMEs..manufacturers.Trump reduced tax on investors and you can see the effects on jobs.
It hurts a lot more than SME’s.

It’s affects transport, food stuffs, everything.

Yes, government relies on taxes since it’s revenues but it shouldn’t suck out air from the rest of the economy.

I wish our mathematical geniuses could devise a formula that allows government to increase its revenue collection while at the same time doesn’t cripple the wanjiku.
 
#15
Uhuru doesn't give a fuccck about economy ,otherwise he would have done these two simple things that can seriously uplift millions of Kenyans and still earn government more taxes more money..

1.Reduce government spending in non essentials like travels and non performing parastatals.. Consequently reduce each ministry expenditure by 10%..this can save close to 100B per year

2.After saving this much ,government domestic borrowing will decrease, availing much needed cash to SMEs and Kenyans overall...banks will be hawking loans ..reducing cash crunch being experienced now..in turn government will earn more taxes from vibrant economy and revived SMEs

Lakini he is drunk,careless and was born in state house..he is not in touch with the common mwananchi..so don't have your hopes on him
Thing is most ministries don’t absorb the funds and most of it ends up right back in the treasury. This is why corruption is hard too tackle.

Government needs better internal systems so of uless of this happens and more money is spent development which also drives the economy.
 
#18
If we can sustain this growth rate will surpass Morocco in 2023. And we'll be in the top 5 biggest economies in Africa.

The anticipation of Kenya becoming the new rising Simba is well underway. This will open many doors.
Did you realise that only very few people are considered to be benefining from the the growth. The 1.9 million earning less than 50k and another group of more than 30million who we really don't know their whereabouts are no where in the picture.
 
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