Browsing: Gross Domestic Product (GDP)

• Kenyan Banks Hit by fresh $1.2 Billion Bad Loans in 2023 according to a new report by the Central Bank of Kenya
• The regulator says it is concerned by the sharp rise in bad loans and is working closely with lenders to mitigate the crisis.
• Kenyan banks hit by fresh $1.2 billion bad loans as global interest rates remained high throughout the year.

The high cost of living due to weak currency and shakeups in the global supply chain saw banks suffer an additional $1.2 billion (Sh150 billion) in bad loans in 2023, pushing the total to $4.98 billion (Sh651.8 billion).

The Banking Supervision Report by the Central Bank released Thursday shows the deterioration in banks’ asset quality was the highest in the past five years and almost 30 per cent compared to the previous year. The gross non-performing loans for 2022 were $3.85billion (Sh503.2 billion).

Non-performing loans were concentrated …

• Tourism in Kenya is the third-biggest foreign exchange earner after remittances and agricultural exports.
• The tourism sector’s performance has been impressive, with earnings reaching $ 2.7 billion in 2023, a 32 per cent growth from $1.8 billion recorded in 2022.
• In 2024, the sector is projected to recover to pre-pandemic levels per the strategy for tourism in Kenya 2021-2025.

Tourism in Kenya

Tourism is Kenya’s third-highest foreign exchange earner after remittances and agricultural exports.

According to the Tourism Research Institute, the industry accounts for about 10 per cent of Kenya’s gross domestic product and about 5 per cent of its formal employment.

Kenya has been a significant tourist destination in East Africa, attracting visitors worldwide to its wildlife parks, sandy beaches at the coast, diverse flora and fauna, cultural heritage, and scenic landscapes, to name a few.

However, the outbreak of COVID-19 sent shockwaves to the tourism sector, bringing it …