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THE KENYAN ECONOMY GREW at an estimated rate of 6.6 per cent in 2007, up from 6.1 per cent in 2006. This reflects broad‐based economic growth in most sectors.Under the Economic Recovery Strategy (ERS) which ended in 2007, investor confidence was restored, farmprices improved, and rural electrification proceeded in many parts of the country. Before the eruption of the current crisis following the disputed presidential elections, the economy appeared to be on track to maintain or improve upon its performance in 2007. However, it now appears likely that growth will be much less than expected in 2008. Assuming that the crisis is short‐lived, the impact is expected to bemodest, followed by a small increase in growth in 2009. The implementation from2008 ofVision 2030‐a strategy comprising successive five‐year plans, the first of which provides for increased investments in infrastructure and other key sectors ‐ is expected to provide continued impetus to growth.
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Document Type: Review Article

Publication date: May 1, 2008

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