Kenya’s volume of trade dropped in 2020 to Ksh.2.29 trillion

KPA begins goods shipment between Mombasa and Lamu ports

Kenya’s volume of trade dropped in 2020 to Ksh.2.29 trillion from Ksh.2.4 trillion in 2019 following the report of the COVID-19 virus globally that led to countries closing down their borders in an effort to contain the virus.

In 2020, the value of Kenya’s imports was at 1.64 trillion while total exports stood at Ksh.0.64 trillion.

The temporary closure of international boundaries there were constant disruptions to normal world trade that affected both supply and demand of the global economy.

However, despite the decline in volume trade, the country registered an improved balance of trade from a deficit of Ksh.1.2 trillion in 2019 to a deficit of Ksh.999.9 billion in 2020.

Kenya’s output plummet

Economy contracted for the first time in nearly three decades as the coronavirus pandemic hit the key sectors, including tourism, education, transport and manufacturing.

According to the National Treasury Ukur Yatani, output or Gross Domestic Product (GDP) declined by 0.3 percent in 2020.

Production fell despite an overhaul of Kenya’s national accounts data that show Gross Domestic Product (GDP) was Ksh.10.753 trillion last year.

In 2019, the Kenya National Bureau of Statistics (KNBS) estimates GDP of Ksh.10.256 trillion with the new reference year of 2016 from 2009, compared with Ksh.9.74 trillion with the previous data series.

The economy, which grew 5 percent in 2019, exited a recession in the last quarter of 2020 after posting marginal growth of 1 percent in the three months through December.

Manufacturing sector’s real gross value shrunk by -0.1 percent in 2020 compared to a 2.5 percent growth in the previous year.

The sector was supported by cement and sugar production.

Construction sector performed well during the lockdown, much of which saw Bamburi Cement’s pretax profit grow by 416.4 percent to record Ksh.1.1 billion for the year ended June 2021.

POST TAGS:
FOLLOW US ON:
Kenyans abroad sent
InterCon hotel exits
Rate This Article: