Kenya's Trade Ranking Falls Amid Policy Shifts and Unrest

Kenya’s ranking on the Stanbic Bank Africa Trade Barometer has fallen from fifth to sixth, impacted by concerns over fiscal policy changes and social unrest tied to the June 2024 Finance Bill protests.

Despite these challenges, business confidence remains steady at 55 points, bolstered by GDP growth and a successful Eurobond buyback. However, persistent inflation and reduced government support for cross-border trade weigh on economic sentiment.

Access to credit continues to decline, prompting businesses to explore alternative financing solutions. A significant shift is seen in cross-border mobile money transactions, which have surged to 44% as businesses move away from cash due to security concerns. This trend underscores Kenya’s evolving approach to trade financing, with mobile money becoming an increasingly vital tool for cross-border trade.