Kenya’s economic growth to remain resilient - Sanlam - KBC

Tuesday’s terror attack in Nairobi will have a minimal impact on Kenya’s economic growth this year due to the high investor confidence from the international community.

This is according to Sanlam Kenya Group CEO, Patrick Tumbo who cites the 19 billion shillings gain in market capitalization at the Nairobi Securities Exchange Wednesday, a day after the terror attack.

Most economic analysts have projected the Kenyan economy to grow at between 5.5 to 6 percent this year driven by agriculture, manufacturing and the service sectors.

Even though Kenyans were projecting a positive economic growth for the country this year, some are concerned that the terror attack at 14 drive complex in Nairobi could be among risks for the economy.

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However, data from the Nairobi Security Exchange indicate that on Wednesday, a day after the terror attack, the market posted better numbers such as the market capitalization increasing by 19 billion shillings and bond value rising by half a billion shillings.

Experts believe this is a vote of confidence by investors in the Kenyan economy.

Even as insurers plan to intensify market sensitization on products, they are encouraging Kenyans to embrace insurance especially for life and household goods noting that the industry is engaging electronic manufacturers to develop ideal insurance products.

Sanlam Kenya has diversified from the investment business to concentrate on general and life insurance in its strategy to capture new market segments with disposable incomes and rising demand for insurance service.

 

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