Kenya's Private Sector Activity Shows Recovery in August
Kenya's private sector activity bounced back in August after disruptions from anti-government protests in the previous month, according to a survey released on Wednesday. The Stanbic Bank Kenya Purchasing Managers' Index increased to 50.6 in August from 43.1 in July, indicating a return to expansion.
"The Stanbic Bank Kenya PMI revealed a slight improvement in business conditions in August as the impact of protests subsided, allowing firms to resume normal operations," stated Stanbic Bank Kenya.
While the survey showed growth in services, wholesale & retail, and construction sectors, there were declines in manufacturing and agriculture activities. However, the overall outlook remains pessimistic, with a majority of respondents expressing concerns about economic prospects for the next year.
"Business expectations deteriorated in August, indicating a lack of optimism for output in the coming months," said Christopher Legilisho, an economist at Stanbic Bank.
In conclusion, the recovery in private sector activity in Kenya is a positive sign for the economy, but concerns about future growth remain. It is important for investors and businesses to closely monitor the situation and adapt their strategies accordingly to navigate through uncertain times.
