Kenya's economy is seen growing at more than 6 percent in 2007/08, in line with government projections, the International Monetary Fund said on Tuesday. The east African country's economy expanded by 6.1 percent in 2006, the government said on Monday, and is forecast to grow by between 5.8 and 6.5 percent this year.
"We broadly share the authorities' outlook for the economy in 2007/08, with real GDP growth projected at over 6 percent," IMF resident representative Scott Rogers said in a statement. An IMF mission visited Kenya earlier this month and said prudent fiscal policies had fostered economic growth and a fall in the inflation rate. Inflation dipped to 5.7 percent in April compared to 14.9 percent in the same period of 2006.
"The mission supported the Central Bank of Kenya's policy objective of keeping overall inflation low through the more effective use of monetary instruments," Rogers' statement said.