Kenya economic update: unbundling the slack in private sector investment
Kenyan households that are exclusively engaged in agriculture contributed 31.4% to the reduction of rural poverty, and agriculture remains the largest income source for both poor and non-poor households in rural areas, according to the latest World Bank economic analysis. The 19th Kenya Economic Update, Unbundling the Slack in Private Investment, says agriculture is a major driver of growth for the Kenyan economy and is the dominant source of employment. From 2013-2017, the report notes the agriculture sector contributed on average 21.9% of gross domestic product (GDP), with at least 56% of the total labor force employed in agriculture in 2017. Agriculture is also responsible for most of the country’s exports, accounting for up to 65% of merchandise exports in 2017. As such, the sector is central to the government’s Big 4 development agenda, where agriculture aims to attain 100% food and nutritional security for all Kenyans by 2022.