Grapevine

William Ruto hit by perfect economic storm

The sprawling Gikomba Market in Nairobi. Consumers are spending less due to rising prices and declining incomes. [Edward Kiplimo, Standard]

Kenya is facing a perfect storm of economic challenges. The country’s economy is slowing down, the Kenya Revenue Authority (KRA) is struggling to meet its revenue targets, and the private sector is freezing hiring and cutting jobs.

The economy’s slowdown is evident in the contraction of key sectors, such as construction and mining. This has led to a decrease in job opportunities and a decline in consumer spending.

KRA, on the other hand, is facing difficulties in collecting taxes due to low tax morale and high unemployment. This has made it difficult for the government to fund its ambitious development plans.

The private sector is also feeling the pinch. Businesses are struggling to cope with weak demand and rising costs.