Kenyans have lost their buying power, spending even less on products despite the drop in the cost of living last month.
According to 400 business procurement managers polled by Stanbic Bank, depressed demand has lowered business expectations, with anxiety over next month’s elections making them to adopt a wait-and-see approach.
The Purchasing Managers Index was down from 49.9 in May to 47.3 in June, below the crucial 50.0 threshold for the fourth time in the past five months, recording the second-lowest reading in the survey’s history, which was indicative of a solid rate of contraction.
“Firms widely linked reduced output to a lower customer turnout reportedly due to the political climate,” said Stanbic in the report. [Dominic Omondi]
READ MORE
Wamalwa warns of 'neocolonialism' as court blocks Kenya-US health deal
Omtatah, lobby sue State over US deal as petitioner targets Adani deal whistleblower Amenya
Why Duale, Mudavadi and AG Oduor have been sued over Kenya-US health deal
Yiwu Selection: Nairobi store bringing Chinese brands closer to Kenyan consumers
