Apr 3, 2022
The Kenyan Economy is projected to grow at an average rate of 4.9% in 2022, from an estimate of 5.6% in 2021, mainly on the back of the global recovery and the easing of COVID-19 containment measures following an increase in vaccination rates and reduced infections. The move is expected to support growth in sectors like tourism, hospitality, manufacturing and trade, which are yet to fully recover from the pandemic. The table below shows the GDP projections according to various organizations; GDP Growth Rate No. Organization 2021 Estimates 2022 ProjectionsSub-Saharan Africa Regional Review
Apr 3, 2022
Economic Growth: According to the International Monetary Fund (IMF), Sub Saharan Africa is projected to register a 3.7% GDP growth in 2022, slower than the 4.0% growth estimate recorded in 2021. The slowed economic growth is partly attributable to the emergence on new strains of COVID-19 such as the Omicron variant that necessitated imposition of measures to curb its spread coupled with increasing inflationary pressures due to broadening of price pressures of key imports such as oil. Economic growth has further been weighed down by slow COVID-19 vaccine roll out, with the region having fully vaccinated only 12.0% of its population, as compared to a global average of 58.5%. Additionally, the region is facing debt sustainability concerns, with most of the countries having huge debt levels, with the IMF highlighting in theirApr 3, 2022
Global Economic Growth: The world economy is projected to register a slower growth in 2022 than earlier envisaged, with the International Monetary Fund (IMF) projecting a 4.4% growth in 2022 down from the initial projection of a 4.9% growth. The downward revision is mainly attributable to: Inflationary pressures around the globe and more so in developed economies that has resulted in hiking of interest rates to tame inflation and rolling back of stimulus packages, Supply chain constraints that were in existence due to the COVID-19 pandemic have been worsened by the Russia-Ukraine conflict. As a result, prices of key manufacturing inputs for majority of the economies such as energy have increased, exerting higher inflationary pressures and currency depreciation as demand for dollars g...Nairobi Metropolitan Area Commercial Office Report 2022
Mar 27, 2022
In 2021, we published the Nairobi Metropolitan Area Commercial Office Report 2021 themed “Market under Pandemic, in which we highlighted the performance of the sector in 2020, as well as giving insights on the outlook and areas best fit for investment opportunities. According to the report, the sector’s performance softened in 2020 recording a 0.5% points decline in average rental yields to 7.0% in 2020, from 7.5% in 2019. Occupancy rates declined as well by 2.6% points to 77.7% in 2020, from 80.3% realized in 2019. Also, asking rents and prices declined by 3.0% and 2.8% respectively to an average of Kshs 93 and Kshs 12,280 per SQFT in 2020, from Kshs 96 and Kshs 12,638 per SQFT in 2019. The drop in performance was mainly attributed to a challenging financial environment that led to reduced spending patterns, coupled with...Kenya Mortgage Refinance Company (KMRC) Progress
Mar 20, 2022
Housing Pillar of the Government of Kenya’s Big 4 Agenda. It was incorporated in April 2018 as a non- deposit taking financial institution under the supervision of the Central Bank of Kenya with the single purpose of providing long-term funds to primary mortgage lenders (Banks, Micro Finance Banks and SACCOs) in order to increase the availability and affordability of mortgage loans to Kenyans. The company was licensed by the Central Bank of Kenya (CBK) in August 2018 and began operations in September 2020. We have previously covered four topicals on KMRC namely; Kenya Mortgage Refinance Company, in April 2018 where we introduced KMRC as a mortgage liquidity facility and demystified th...