Kenya
Kenya country policy
Policy established 30 March 2010
- ILC, bank guarantee or central public guarantee (unconditional)
- The country ceiling is 150 mln euro
- - of which was used as at 2010-07-31 133 mln euro
Country class: 6
Good governance controlKenya country facts
Atradius Dutch State Business Economic Research
Country Report last updated : 17 December 2009
Country : KENYA
Political Situation
Fragile Coalition Government
Head of state
President Mwai Kibaki (since December 2002, member of NARC-Kenya, reelected in the controversial elections of December 2007).
Form of government
Government of the Narc-Kenya party (new coalition party formed in 2006).
Member of
UN, IMF, IBRD, Commonwealth, WTO, AU, EAC, COMESA.
Internal Economic Situation
Poor; Only Very Modest Recovery EXPECTED
General situation
Since 2004 the macro-economic performance has improved markedly. Economic growth was also high until 2008 and was driven by sectors like tourism, agro- & horticulture and transport & communication. However these sectors were hit particularly hard by the post-elections tribal unrest. A quick recovery after the political unrest has not materialized, largely due to the global downturn and a poor harvest due to drought. Food prices have rocketed resulting in very high inflation. External debt remains manageable and Kenya can count on IMF support. Kenya’s private and banking sector are well developed for African standards. Liquidity remains adequate, but current account deficits are a threat.
External Economic Situation
Sustainable Sovereign Debt
Main sources of foreign exchange
Tourism ($579 mln), horticulture ($522 mln), tea ($511 mln) coffee ($169 mln), donor support.
Main foreign markets
Africa (33%, Uganda 13%), EU (32%, UK 13%, Netherlands 8%), USA (9%), Asia (12%, Pakistan 5%).
Main expenses of foreign exchange
Machines and transport equipment, chemicals, petroleum, manufactured goods and food.
Balance of payments
Current account deficits are more than offset by capital inflows.
