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Analysis by Region - Emerging Markets - Kenya

Publisher Oxford Economics
Published Feb 10, 2026
Length 7 Pages
SKU # OFE20872795

Description

Kenya entered 2026 on a relatively strong footing, with the country’s PMI remaining above the 50‑point threshold and CPI inflation subdued. The East African nation also received an upgrade to its credit rating from Moody’s and is poised to sign a Duty‑Free, Quota‑Free (DFQF) trade agreement with China. Despite these positive developments, the near‑term outlook remains clouded by several headwinds, including ongoing US‑China tensions, a persistent dry spell weighing on agricultural output, and delays in IMF negotiations.

Table of Contents

7 Pages
Kenya: Steady growth amid fiscal pressures and weather risks
Forecast overview
Recent developments
Short-term outlook
Key drivers of our short-term forecast
Economic risk
Economic risk evaluation
Long-term prospects
Background
Economic development
Structure of the economy
Balance of payments
Policy and politics

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