The paper "Economic Development of Kenya since 1980" is a perfect example of a micro and macroeconomic case study. The paper uses Kenya as a low-income country (LIC) to explain its economic development since 1980. According to the World Bank, a low-income economy is that with a per capita income of $1045 or less (The World Bank Group A to Z. 2015). Kenya is rated the regional hub for trade and finance in East Africa as well as the natural entry point to the region. Kenya is a market-based economy driven by a liberalized foreign trade policy.
The economy of Kenya has grown by 5.4% in 2014 and has a current growth projection by 6% in 2015. The World Bank Group’ s economic analysis suggests that such resilience has the likelihood to continue with the expansion of the economy at 6.65 in 2016 and 6.5% I 2017. As reflected in the Kenya Economic Update for March 2015, the economy is emerging as one of the continent’ s core growth region. Such projection has poised Kenya to become the fastest growing economies in the East Africa region.
Such suggestion rest on the lower energy cost, agriculture, manufacturing industries as well as the country’ s high level of infrastructural development. Body Economic Status Kenya’ s economies have remained inconsistent since its independence. The independence early periods saw the country’ s GDP grew by 6% and thus diminished to 4% in the subsequent decades. During the 1990s, the country’ s economy with respect to GDP further showed significant inconsistencies. There were negative GDP growth rates going up to 4% in the 1990s. The country, however, began to showcase promising economic records after the Millennium.
The climax of the Kenya economic growth was recorded in 2007 with a 7% growth rates. However, this was washed down with 1.7% following the boggled election of December same year alongside the 2008 global financial crisis particularly on exports and remittance. Nonetheless, the Kenyan economy has revamped from the 2007-2008 impacts. In 2010-11, the growth rates went as high as 5% with the economic prospects of the country for subsequent years showcasing high levels of favorability. Ceteris paribus, Kenya’ s economies remains projected to be the first East African country to shift from low-income to middle-income status with its current GDP per capita being in the neighborhood of 760 dollars.
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