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Kenya Economy

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Submitted By rajy750
Words 5761
Pages 24
TABLE OF CONTENTS

TABLE OF CONTENTS 2

Introduction: Kenya Economy (Sub-Saharan Africa) 3

Objective of the study 4

Macro Economic Indicator Table 5

GDP Trend 6

Trade and Industrial Policy 9

Exchange rate policy 17

Monetary policy & Fiscal Policy 21

References: 26

Introduction: Kenya Economy (Sub-Saharan Africa)

Kenya is considered by many today to be the heartland of East Africa. It has a total area of approximately 580,000 km2, making it slightly smaller than the state of Texas. The country's southeastern border is defined by the Indian Ocean, and its southwestern border includes a small portion of Lake Victoria. Kenya's climate changes from tropical along the coast to arid in the interior. Although Kenya is located on the equator, temperatures of many of its cities are moderate because they were built at high altitudes. The terrain consists of low plains, central highlands, which are separated by the Great Rift Valley, and a fertile plateau. However, as little as 3% of the total land area of the country is arable (able to support a crop).

It is the 47th largest country in the world in terms of land area; Major agricultural products in the country are tea, coffee, wheat, sugar cane, dairy products and eggs. Important industries of the country are cement, tourisms, oil refining, and consumer goods. Kenya's economy relies heavily on agriculture and tourism

Currency: Kenya shilling. National accounts base year: 2001. SNA price

Kenya’s economy suffers from a high population growth rate and rampant corruption. Kenya stands at the 147th position, Kenya's economic performance weakened over the last decade because of the failure to sustain prudent macroeconomic policies, the slow pace of structural reform, and the persistence of governance problems. The often Tax fiscal policy led to a rapid build up of short-term

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