Kenya’s Economy on the Rise: Strong Growth Forecast and New Partnership with Japan
- OUS Academy in Switzerland
- 5 days ago
- 1 min read
Nairobi, August 20, 2025 — Kenya is looking forward to a brighter economic future in 2025, with new projections showing that the country’s economy will grow by 5.6%. This is a significant improvement compared to last year’s 4.7% growth and even higher than earlier forecasts of around 5.2 to 5.3 percent.
The announcement was made during the TICAD 9 conference in Yokohama, where President William Ruto emphasized Kenya’s resilience in the face of global trade challenges. Despite difficult international conditions, Kenya continues to demonstrate stability and progress, supported by strong policies and expanding international partnerships.
One of the most important developments from the conference was the signing of a new yen-denominated loan agreement with Japan, supported by Nippon Export and Investment Insurance (NEXI). This agreement will reduce borrowing costs for Kenya and provide vital support for infrastructure and development projects across the country.
The loan will contribute to projects that include roads, energy systems, and other essential infrastructure, all of which are expected to create more jobs and encourage new business opportunities. This step not only strengthens economic ties between Kenya and Japan but also builds confidence among global investors about Kenya’s future.
For the people of Kenya, these investments mean improved services, better connectivity, and a stronger economy that opens doors for growth and innovation.
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