•Significant recovery was recorded in transportation and storage sector (8.1%), accommodation and food serving activities (56.2%).
•Professional, administrative and support services also grew 14.9 per cent while other service activities expanded 11.1 per cent.
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Kenya's economy grew 6.8 per cent in the first quarter of the year driven largely by the recovery of key sectors from the Covid-19 pandemic and sound macroeconomic environment.
The expansion is higher compared to 2.7 per cent growth in the first quarter of 2021 when most economic activities contracted significantly due to measures instituted to curb the spread of Covid-19.
Quarterly Gross Domestic Product Report by the Kenya National Bureau of Statistics shows significant recovery was recorded in transportation and storage sector (8.1%), accommodation and food serving activities (56.2%).
Professional, administrative and support services also grew 14.9 per cent while other service activities expanded 11.1 per cent.
"The growth was also supported by accelerated growths in manufacturing, wholesale and retail activities and financial and insurance activities coupled with sustained growth in construction, real estate and information and communication activities," KNBS director general Mcdonald Obudho said.
Even so, the growth was constrained by contraction in agricultural activities mainly owing to insufficient during the preceding quarter as well as delayed long rains during the period under review.
Macroeconomic indicators showed mixed performance during the quarter under review.
Inflation eased from an average of 5.79 per cent in the first quarter of 2021 to 5.34 per cent in the first quarter of 2022.
However, price hike of various food basket items drove inflation to a five-year high of 7.9 per cent in June, up from 7.1 per cent in May.
The cost of living has been rising on a monthly basis since February, hitting 7.1 per cent in May.
This is partly attributed to Ukraine - Russia crisis which has stoked energy and food prices after choking the global supply chain.
In the first three months of the year, the Kenyan Shilling ceded ground against US Dollar, Pound Sterling and South African Rand by 3.7 per cent, 1.0 per cent and 3.2 per cent, respectively, in the first quarter of 2022, KNBS dats shows.
However, the Kenyan currency strengthened against the Japanese Yen, Euro, Ugandan Shilling and Tanzanian Shilling in the review
The Central Bank Rate (CBR) was maintained at 7.00 per cent in the first quarter of 2022. Broad money supply expanded by 4.8 per cent from Sh4,030.0 billion as at March 2021 to Sh4,221.2 billion as at March 2022.
The Nairobi Securities Exchange (NSE) 20 share index rose marginally from 1,846.0 points in March 2021 to 1,847.0 points in March 2022.The current account balance deficit narrowed by 39.7 per cent from Sh157.5 billion in the first quarter of 2021 to Sh95.0 billion in the same quarter of 2022