ECONOMIC STABILITY AND GROWTH: A TESTAMENT TO PRUDENT GOVERNANCE

Kenya continues to shine as a beacon of economic resilience and stability, even in the face of global uncertainties. Under the able leadership of the Government and the Central Bank Governor, the country is reaping the benefits of well-thought-out fiscal and monetary policies that are driving confidence, stability, and sustainable growth.

At the heart of this progress is the Kenyan shilling, currently trading at 129.8 against the US dollar, demonstrating commendable stability in the foreign exchange market. This reflects not only investor confidence but also the strength of our external sector management. Meanwhile, inflation is well-contained at 3.5%, ensuring that the cost of living remains manageable for ordinary citizens and businesses alike.

Financial institutions continue to operate in a healthy and regulated environment, with the interbank rate standing at 9.87%, facilitating smooth operations within the banking system. The cash reserve ratio (CRR) has been maintained at 3.25% as of April 8, 2025, allowing banks to remain liquid while ensuring responsible monetary control.

Access to credit remains a key pillar for economic empowerment, and the current lending rate of 16.41% is reflective of ongoing efforts to support the private sector while managing inflationary pressures. On the savings side, Kenyans are also being encouraged to build financial security, with a savings rate of 4.02% and a deposit rate of 9.76%, both of which indicate strong performance in mobilizing domestic resources.

All these indicators paint a clear picture: Kenya is on a steady and sustainable growth path. The strategic decisions by the Government and the Central Bank are bearing fruit, creating an environment where businesses can thrive, citizens can save and invest, and the economy can expand inclusively.

As we look ahead, continued support for these policies will be essential in cementing Kenya’s place as a regional economic powerhouse. Let us all take pride in the progress and remain hopeful for an even more prosperous future.

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