Kenya’s economy grew 4.4 per cent in the third quarter of 2017, the slowest growth in a period of five years, data by the Kenya National Bureau of Statistics has shown.
The quarterly Gross Domestic Product report attributed the reduced growth to uncertainty associated with political environment coupled with effects of adverse weather conditions.
The recorded growth is lower than World Banks growth projection of 4.9 per cent announced last month.
In April 2017 the bank had estimated the growth at 5.5 per cent before reducing it to 4.9 per cent on a sluggish credit growth and prolonged electioneering period.
In 2012, the economy grew by 5 per cent, went up to 6.4 per cent in 2013, dipped to 4.6 per cent in 2014, and went up again to 6.1 per cent in 2015.
The third quarter of 2016 saw it record a growth of 5.6 per cent.
The poor weather conditions saw a rise in prices of food and non-alcoholic beverages that started in the second quarter of 2017 and continued into the period under review.
High food prices increased inflation to an average of 7.5 per cent during compared to 6.3 per cent during a similar quarter in 2016.
Findings from the report indicate that suppressed performance in key sectors of the economy were key contributors of the economic dip.
During the period under review, financial and insurance activities recorded the largest deceleration from 7.1 per cent in third quarter of 2016 to 2.4 per cent.
Other industries that recorded notable slowdown during the period under review include manufacturing which dropped from 4 .4 per cent recorded to 2.1 per cent, accommodation and food services from 13.5 per cent to 7.3 per cent, electricity and water supply from 5.4 per cent to 2.8 per cent, and Transport and storage from 6.2 per cent to 5.4 percent.