Kenya’s Monetary and Fiscal Policies Under Pressure Amid Economic Strain
In May, the Central Bank of Kenya (CBK) maintained a cautious stance, keeping the Central Bank Rate (CBR) unchanged. This “wait-and-see” approach reflects the ongoing economic pressures facing the country.
The Kenya Shilling remained stable against major international and regional currencies in the month of May closing at KSh129.12 on May 22nd. Interest rate on the 91-day and 182-day treasury bills declined while that on the 364-day remained stable.
Despite this monetary stability, the real estate sector continues to face headwinds. Rising non-performing real estate loans and an increase in property auctions indicate growing financial distress, even as both the public and private sectors continue to develop new residential projects.
📌 Insight: Kenya’s real estate sector faces growing financial stress amid rising non-performing loans and auctions, while the Central Bank’s cautious stance may be delaying much-needed sector support.
📰 Source: Multiple
Country: Kenya
