President Ruto defends economic record as growth slows in 2025

President William Ruto has pushed back against what he termed as misleading headlines following the release of the 2026 Economic Survey by the Kenya National Bureau of Statistics.

Fresh data shows Kenya’s economy expanded by 4.6 per cent in 2025, marking a second straight year of slowing growth from 4.7 per cent in 2024 and 5.7 per cent in 2023.

In nominal terms, GDP rose to Ksh.17.6 trillion in 2025, up from Ksh.16.2 trillion the previous year, with all sectors recording positive growth.

While the figures point to continued expansion, they also signal a loss of momentum, a trend that has dominated public debate and drawn a sharp response from the Head of State.

“Tunaweza kuwa na ripoti nyingi, tunaweza kuwa na headline nyingi, tunaweza kuwa na mjadala mkubwa mtandaoni na sehemu nyingine, lakini bei ya mbolea ilikuwa elfu sita sasa ni elfu mbili na mia tano, tulikuwa na pengo kubwa ya waalimu kuajiriwa leo waalimu elfu mia moja ishirini washa ajiriwa,” said Ruto.

The President pointed to what he described as strong macroeconomic fundamentals, noting that foreign exchange reserves had risen to 13.3 billion dollars, equivalent to nearly six months of import cover.

He also cited the relative stability of the Kenyan shilling, which has hovered at around Ksh.129 to the US dollar for over two years, as a sign of improved market confidence and policy stability.

“Batimayos alikuwa mtu kipofu, akaponywa, alafu kukatokea mjadala mkubwa, huyu mtu alikuwa kipofu kweli? Yule mwenye kumponya sijui ni wa kutoka wapi, sijui nini. Kukatokea mjadala mkubwa, yani yule Batimayos alisema nyinyi mnaweza kuendelea na mjadala lakini mimi najua nilikuwa kipofu lakini sasa naona,” he added.

On employment, the President said government-backed programmes had created significant opportunities, highlighting the Affordable Housing Programme, which he said has generated more than 640,000 jobs, with a target of one million.

He further noted that over 580,000 Kenyans have secured jobs abroad, while more than 120,000 teachers have been recruited in the past three years.

“Kampuni zetu za sukari kutoka Nzoia, kwenda Mumias, kwenda Chemelil, hadi Muhoroni mpaka kule Sondu, zote leo zinasaga miwa zinalipa wakulima ndani ya wiki moja zinalipa wafanyikazi wao, that is the reality,” said the President.

However, data from KNBS shows that most job creation remains concentrated in the informal sector.

Of the 822,100 jobs created in 2025, nearly 87 per cent were in informal employment, underscoring the economy’s continued reliance on low-income and vulnerable jobs.

With about 800,000 Kenyans entering the labour market annually and only around 100,000 securing formal employment, the focus now shifts to whether stability alone will be sufficient or if faster and more inclusive growth is needed.