Kenya Economic Update, April 2017, No. 15 : Housing - Unavailable and Unaffordable

Economic activity in Kenya remained robust in 2016. For the third consecutive year economic activity in Kenya picked-up, reaching an estimated 5-year high of 5.9 percent in 2016, once again placing Kenya among the fastest growing economies in Sub-S...

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Main Author: World Bank Group
Format: Report
Language:English
en_US
Published: World Bank, Washington, DC 2017
Subjects:
Online Access:http://documents.worldbank.org/curated/en/988191491576935397/Kenya-economic-update-housing-unavailable-and-unaffordable
http://hdl.handle.net/10986/26392
id okr-10986-26392
recordtype oai_dc
spelling okr-10986-263922021-06-14T10:12:10Z Kenya Economic Update, April 2017, No. 15 : Housing - Unavailable and Unaffordable World Bank Group ECONOMIC OUTLOOK MACROECONOMIC POLICY FISCAL TRENDS FINANCIAL MARKETS ECONOMIC GROWTH SERVICE SECTOR RISKS MONETARY POLICY STABILILTY PRODUCTIVITY STRUCTURAL REFORM HOUSING FINANCE Economic activity in Kenya remained robust in 2016. For the third consecutive year economic activity in Kenya picked-up, reaching an estimated 5-year high of 5.9 percent in 2016, once again placing Kenya among the fastest growing economies in Sub-Saharan Africa. Kenya's growth momentum in 2016 was supported by a stable macroeconomic environment, low oil prices, favorable harvest in the first half of 2016, rebound in tourism, strong remittance inflows, and an ambitious government infrastructure drive to relieve supply side constraints. Near term GDP growth is expected to dip on account of headwinds, however over the medium term GDP growth should pick-up. Given headwinds from the ongoing drought, weak credit growth, and the pick-up in oil prices, GDP growth is expected to decelerate to 5.5 percent in 2017, a 0.5 percentage point mark down from earlierforecasts. However, over the medium term, we expect these headwinds to ease (rains are expected to return to normal in 2017), and together with the projected steady strengthening of the global economy, rebound in tourism, resolution of some of the underlying causes of slow credit growth, and the easing of some supply-side constraints related to the completion of some major infrastructure projects, GDP growth is expected to accelerate to 5.8 percent and 6.1 percent in 2018 and 2019 respectively, consistent with the underlying growth potential of the Kenyan economy. 2017-04-18T21:52:36Z 2017-04-18T21:52:36Z 2017-04 Report http://documents.worldbank.org/curated/en/988191491576935397/Kenya-economic-update-housing-unavailable-and-unaffordable http://hdl.handle.net/10986/26392 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Economic & Sector Work :: Economic Updates and Modeling Economic & Sector Work Africa Kenya
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ECONOMIC OUTLOOK
MACROECONOMIC POLICY
FISCAL TRENDS
FINANCIAL MARKETS
ECONOMIC GROWTH
SERVICE SECTOR
RISKS
MONETARY POLICY
STABILILTY
PRODUCTIVITY
STRUCTURAL REFORM
HOUSING FINANCE
spellingShingle ECONOMIC OUTLOOK
MACROECONOMIC POLICY
FISCAL TRENDS
FINANCIAL MARKETS
ECONOMIC GROWTH
SERVICE SECTOR
RISKS
MONETARY POLICY
STABILILTY
PRODUCTIVITY
STRUCTURAL REFORM
HOUSING FINANCE
World Bank Group
Kenya Economic Update, April 2017, No. 15 : Housing - Unavailable and Unaffordable
geographic_facet Africa
Kenya
description Economic activity in Kenya remained robust in 2016. For the third consecutive year economic activity in Kenya picked-up, reaching an estimated 5-year high of 5.9 percent in 2016, once again placing Kenya among the fastest growing economies in Sub-Saharan Africa. Kenya's growth momentum in 2016 was supported by a stable macroeconomic environment, low oil prices, favorable harvest in the first half of 2016, rebound in tourism, strong remittance inflows, and an ambitious government infrastructure drive to relieve supply side constraints. Near term GDP growth is expected to dip on account of headwinds, however over the medium term GDP growth should pick-up. Given headwinds from the ongoing drought, weak credit growth, and the pick-up in oil prices, GDP growth is expected to decelerate to 5.5 percent in 2017, a 0.5 percentage point mark down from earlierforecasts. However, over the medium term, we expect these headwinds to ease (rains are expected to return to normal in 2017), and together with the projected steady strengthening of the global economy, rebound in tourism, resolution of some of the underlying causes of slow credit growth, and the easing of some supply-side constraints related to the completion of some major infrastructure projects, GDP growth is expected to accelerate to 5.8 percent and 6.1 percent in 2018 and 2019 respectively, consistent with the underlying growth potential of the Kenyan economy.
format Report
author World Bank Group
author_facet World Bank Group
author_sort World Bank Group
title Kenya Economic Update, April 2017, No. 15 : Housing - Unavailable and Unaffordable
title_short Kenya Economic Update, April 2017, No. 15 : Housing - Unavailable and Unaffordable
title_full Kenya Economic Update, April 2017, No. 15 : Housing - Unavailable and Unaffordable
title_fullStr Kenya Economic Update, April 2017, No. 15 : Housing - Unavailable and Unaffordable
title_full_unstemmed Kenya Economic Update, April 2017, No. 15 : Housing - Unavailable and Unaffordable
title_sort kenya economic update, april 2017, no. 15 : housing - unavailable and unaffordable
publisher World Bank, Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/988191491576935397/Kenya-economic-update-housing-unavailable-and-unaffordable
http://hdl.handle.net/10986/26392
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