Kenya business activity rises to highest level since January 2023 - Report

Business activities rose strongly in May, implying a positive outlook despite the ravages of floods in parts of the country.

This is according to data from the latest issue of Stanbic Bank’s Purchasing Managers' Index (PMI).

Sectors like manufacturing saw robust expansions while heavy rains took a toll on the agricultural and construction sectors.

Falling fuel prices and lower import costs on account of a stabilizing shilling, have slashed overall expenses for the second month in a row.

This cost relief allowed companies to ramp up production at the fastest pace in 20 months, bolstered by increased consumer spending.

Key sectors like services, manufacturing, and wholesale and retail led the charge, while job creation also saw a mild uptick.

A PMI above 50 means business conditions are getting better, below 50 means they're worsening. May’s PMI jumped to 51.8 from April’s 50.1, signaling improvement and the highest score since January 2023.

Kenyans could be in for more job opportunities and potentially lower prices as businesses manage their costs better.

The private sector’s solid performance suggests a brighter economic outlook, with a possibility of continued growth and stability in the months ahead.