Economic slump threatens Kenya

Analysts say there is no reason why the country’s economy should be retracting, despite weak finances.

kenya economy

The value of Kenya’s shilling has plummeted, interest rates are through the roof, and inflation has soared to almost 20 per cent.

The country’s economy is suffering but analysts say it is all linked to the country’s political cycle as it rolls towards elections in 2012.

In a year far more turbulent than even Greece’s, the economy has squeezed thousands of companies into a corner.

Al Jazeera’s Peter Greste reports from the capital, Nairobi.

Source: Al Jazeera