Nairobi: The government will intensify efforts to formalize and support Micro, Small and Medium Enterprises (MSMEs) through enhanced access to credit, especially via the Hustler Fund. The Cabinet Secretary for National Treasury and Economic Planning, John Mbadi, emphasized the critical role MSMEs play in job creation, highlighting that the informal sector was responsible for 703,000 of the 782,000 jobs created in 2024.
According to Kenya News Agency, Mbadi spoke during the official launch of the 2025 Economic Survey Report at the Kenyatta International Convention Centre (KICC), Nairobi. The comprehensive document offers statistical insights into Kenya's economic performance in 2024 and outlines key trends shaping the nation's development trajectory. Mbadi underscored the importance of the survey in planning, stating that reliable data is crucial for policymaking. He noted that no meaningful economic policy can be crafted without robust statistics.
While the government had projected a growth rate of at least 5.3 percent for the 2024/25 financial year, the actual performance fell short due to finance protests and climate-induced disasters, including prolonged drought and recent floods. The survey report shows that in 2024, Kenya's real Gross Domestic Product grew by 4.7 percent, compared to a revised growth of 5.7 percent in 2023. This growth was supported by activities in agriculture, forestry and fishing, financial and insurance activities, transport and storage, and real estate.
Despite the challenges, Mbadi remains optimistic about the country's economic resilience, citing Kenya's diversified economy as a key buffer against global and domestic shocks. He highlighted efforts to rationalize spending and enhance revenue collection. The projected revenue for the 2025 financial year has been revised to Sh3 trillion, while total expenditure is estimated at Ksh 4.2 trillion.
The survey also reports a drop in inflation from 7.7 percent in 2023 to 4.5 percent in 2024, with food prices stabilizing and the Kenyan shilling appreciating against the US dollar. Mbadi attributed the drop in inflation to improved macroeconomic management and favorable exchange rate movements.
The Principal Secretary for Economic Planning, Boniface Makokha, emphasized the government's commitment to data-driven decision-making. He noted that the Kenya National Bureau of Statistics, with support from development partners, has enhanced its capacity to produce high-quality, reliable statistics. As Kenya continues to face complex economic dynamics, both leaders reiterated the need for all stakeholders to rely on the economic survey and contribute to the national statistics ecosystem.