Nairobi — Kenya’s economy grew by 7.5 percent in 2021 compared to a contraction of 0.3 percent in 2020, the Kenya National Bureau of Statistics has revealed.

KNBS says that the growth was boosted by recovery from the effects of the COVID-19 pandemic.

All economic activities registered positive growths except Agriculture which shrunk by 0.3 percent and was mainly caused by mid unfavorable weather conditions in various parts of the country, which resulted in reduced crop and livestock production.

Tea, coffee, maize, and wheat subsectors recorded negative growth while sugarcane rice and cut flowers recorded positive growth.

“The country’s macroeconomic environment is expected to remain stable despite the likelihood of a rise in inflation, weakening of the Kenya shilling against major trading currencies and significant rise in energy prices,”  KNBS managing director Macdonald Obudho said.

“We are aware of the Russia-Ukraine war which is causing part of that problem [inflation] and also our weather pattern that has seriously changed is also likely to contribute to what we are likely to face in terms of inflation rate.”

Accomodation and food services recorded the highest rate of growth at 52.5 per cent from a decline of 47.7 per cent in 2020 following the reopening of hotels, bar and restaurants after controlled closures to manage the spread of Covid-19 infections.

The education sector posted the second-highest rate of growth at 21.4 per cent from a decline of 9.3 per cent in 2020 following the restart on in-person learning in schools and other educational institutions.

The manufacturing sector’s contribution to GDP increased by 6.9 percent compared to a negative 0.4 percent growth in 2020.

In 2021 Construction sector grew by 6.6 percent compared to a growth of 10.1 percent in 2020.