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- Kenya's Economic Growth Slowed Down to Two-Year Low, Angola's Investment Windfall ahead of Biden Visit
Kenya's Economic Growth Slowed Down to Two-Year Low, Angola's Investment Windfall ahead of Biden Visit
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Kenyan Wall Street
October 07, 2024
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Kenya’s Economic Growth Slowed Down to 4.6%, a Two-Year Low, in Q2
Kenya’s economic growth rate fell to a 2-year low, expanding 4.6% in the second quarter of 2024, down from 5.6% in the same period in 2023.
The Kenya National Bureau of Statistics (KNBS) body attributed the expansion, albeit slower, – as shown by the Gross Domestic Product (GDP) – to robust growth from agriculture, manufacturing, real estate, forestry and fishing, wholesale and retail, and financial and insurance activities.
The growth, which compares with 5% in the first quarter of 2024, was however tempered by contractions in the mining, quarrying and construction sectors.
Mining and Quarrying contracted by 2.7% during the quarter, up from a larger 8.3% expansion in a similar quarter in 2023. Similarly, the construction sector contracted by 2.9%, reversing the 2.7% growth in the second quarter of 2023.
The manufacturing sector’s real GDP growth accelerated to 3.2% in the three months to June, compared to the 1.5% growth in the same period in 2023. The growth was supported by significant increases in production of food, including soft drinks, sugar and milk, however slowed down by a 0.6% decline in Tea production.
Stay updated on this and other stories on The Kenyan Wall Street.
“The function of economic forecasting is to make astrology look respectable.”
― John Kenneth Galbraith
Angola’s Investment Windfall Ahead of Biden Visit
Angola’s investment windfall has continued, as multiple lenders and companies announce they will either expand or make investments in the country.
Luanda will host US President Joe Biden in what will be the outgoing president’s first and last visit to the continent.
The visit is strategic, as Washington and Beijing are engaged in a tussle for control of Central Africa, which hosts some of the raw materials necessary to make the electric revolution succeed.
In anticipation of the visit next week, multiple investors have announced plans to invest in Angola.
“We see great opportunities to acquire mature assets in Angola, reduce emissions from those assets and further develop them,” said Paul McDade, CEO of Afentra, and independent energy firm, adding, “We anticipate more large companies divesting in the future, with independents stepping in to acquire mature fields. We aim to continue working alongside Angolan companies, combining efforts to secure additional assets. The challenge lies in convincing investors to finance these projects.”
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