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<< Click to Display Table of Contents >> Navigation: Finance and Economic Planning > CBROP > 2014-15 FY CBROP > RECENT ECONOMIC DEVELOPMENTS AND OUTLOOK > Macroeconomic Outlook |
The county’s performance is largely dependent on the formulation and implementation of prudent policies to guide service delivery and the country’s economic performance
Recent developments in the key macroeconomic variables are encouraging. Growth in real GDP remains resilient but downside risks remain. Real GDP grew by 4.3 percent in the second quarter of 2013, compared to 4.4 percent during a similar period in 2012. Overall inflation increased slightly during the 2nd half of 2013/2014 on account of upward revisions in local pump prices and food items as well as the CPI base effects. Short term interest rates declined, consistent with the easing of monetary policy stance. In particular, the uptake of bank credit by the private sector increased by 13.5 per cent in the twelve months to July 2013 compared to 16.7 per cent target. The Kenya Shilling exchange rate has stabilized against major world currencies following increased short term capital inflows and remittances