The Report: Kenya 2016

Book excerpt: The Kenyan economy performed comparatively well in 2015, even in the face of global economic headwinds. According to the World Bank, GDP growth is expected to reach 5.4% for the year, aided in large part by sustained public sector capital spending. The country has a strong private sector and received encouraging signs of new oil, gas and water reserves, which if harnessed appropriately bode well for future growth. The country’s medium- to long-term economic outlook is robust. With over 40% of the population under the age of 15, Kenya stands to benefit from a significant demographic dividend, provided that sufficient jobs can be found when this population enters the workforce. The country has a reasonably sized industrial base, competitive infrastructure and a large agricultural sector, all of which offer opportunities for capital-intensive investment.