The Central Bank of Kenya cut interest rates by 50 basis points to 9% on July 30, citing the need to boost economic activity.
“Economic output was below its potential level, and there was some room for further accommodative monetary policy,” governor Patrick Njoroge said in a statement.
Growth has nevertheless been buoyant. In the first quarter of 2018, annual real GDP growth rose to 5.7% from 4.8% in the first quarter of 2017. The central bank expects growth for the remainder of 2018 to be