NAIROBI, Kenya, Jan 13 – The recovery of Kenya’s economy this year will be led by the education, hospitality, manufacturing, trade, and transport sectors.
According to a report by ICEA Lion Asset Management, this follows a sharp slowdown in 2020 arising from the impact of the COVID-19 pandemic.
The report also reveals that agriculture, health, financial services, and construction sectors were the country’s most resilient sectors in 2020, amid the pandemic.
Commenting on the report, ICEA LION Asset Management’s CEO – Einstein Kihanda said the pandemic has demonstrated that opportunity can truly arise from the crisis.
Overall, the report finds that economies in Sub-Saharan Africa slowed down the least as a result of the pandemic.
At the same time, economies globally have recovered from the pandemic slightly faster than expected.
The finding by ICEA Lion comes a week after a report by World Bank suggested that Kenya’s economic growth would outpace other countries in sub-Saharan Africa.
The report revealed that the economy will rebound at 6.9 percent in 2021.
Other countries that are expected to register notable growths include Rwanda and Botswana at 5.7 each, Tanzania, Cabo Verde, Guinea, and Cote d’Ivoire at 5.5 percent each.
In East Africa, Uganda is expected to grow at 2.8percent, Burundi 2 percent while South Sudan is projected to contract 3.4 percent.
Overall, the Sub-Saharan economies forecast for 2021 has been averaged at 2.7 percent.
“Growth in the region is forecast to rebound moderately to 2.7% in 2021. While the recovery in private consumption and investment is forecast to be slower than previously envisioned, export growth is expected to accelerate gradually, in line with the rebound in activity among major trading partners,” World Bank said in a statement.