Kenya Interest Rate  1991-2018 | Data | Chart | Calendar | Forecast | News

The Central Bank of Kenya lowered its benchmark interest rate by 50 bps to 9.5 percent at its March 19th 2018 meeting, surprising markets who expected no change. It was the first rate cut since September of 2016. The Committee said there was scope for easing monetary policy as inflation expectations were well anchored within the Government target range and economic output was below potential. Interest Rate in Kenya averaged 13.98 percent from 1991 until 2018, reaching an all time high of 84.67 percent in July of 1993 and a record low of 0.83 percent in September of 2003.

Kenya Interest Rate
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Kenya Cuts Interest Rate by 50 Bps to 9.5%


The Central Bank of Kenya lowered its benchmark interest rate by 50 bps to 9.5 percent at its March 19th 2018 meeting, surprising markets who expected no change. It was the first rate cut since September of 2016. The Committee said there was scope for easing monetary policy as inflation expectations were well anchored within the Government target range and economic output was below potential.

Excerpts from the MPC Press Release

Month-on-month overall inflation fell to 4.5 percent in February 2018 from 4.8 percent in January 2018, thereby remaining within the Government target range. This decline reflected lower food prices particularly for Irish potatoes, cabbages, and sugar. The decrease in food prices outweighed the increase in fuel prices as a result of the rise in international oil prices. Non-food-non-fuel (NFNF) inflation remained below 5 percent indicating that demand-driven inflationary pressures are muted. Overall inflation is expected to be within the Government target range in the near term mainly due to expectations of contained food prices following improved weather conditions.

The MPC Private Sector Market Perception Survey conducted in March 2018 showed that inflation was expected to decline in the near term and reported stronger growth expectations for 2018. The Survey also showed almost unanimous optimism by the private sector for the domestic economic prospects in 2018. Respondents attributed their optimism to a stable macroeconomic environment, favourable weather conditions, improved business environment and investor confidence, continued public investment in infrastructure, expected direct flights to the U.S., and political stability.

The MPC noted that inflation expectations were well anchored within the Government target range, the increased optimism for growth prospects in the economy, and that economic output was below its potential level. Therefore, it concluded that there was scope for easing its monetary policy stance in order to support economic activity. Consequently, while noting the risk of perverse outcomes, the Committee decided to reduce the Central Bank Rate (CBR) to 9.50 percent from 10.00 percent. The MPC will closely monitor the impact of this change in its policy stance. Other developments in the domestic and global economy will also be observed, and the MPC stands ready to take additional measures as necessary.


Central Bank of Kenya | Stefanie Moya | stefanie.moya@tradingeconomics.com
3/19/2018 2:22:40 PM



Calendar GMT Actual Previous Consensus TEForecast
2017-11-23 01:30 PM Interest Rate Decision 10.00% 10% 10% 10%
2018-01-22 01:30 PM Interest Rate Decision 10% 10% 10% 10%
2018-03-19 01:30 PM Interest Rate Decision 9.5% 10% 10% 10%
2018-05-28 01:30 PM Interest Rate Decision 9.5% 9.5%


Kenya Money Last Previous Highest Lowest Unit
Interest Rate 9.50 10.00 84.67 0.83 percent [+]
Interbank Rate 6.21 7.70 68.30 0.40 percent [+]
Money Supply M1 1395.34 1374.51 1397.26 71.50 KES Billion [+]
Money Supply M2 2547.67 2530.03 2547.67 231.09 KES Billion [+]
Money Supply M3 3003814.30 3006399.91 3028141.17 244755.00 KES Million [+]
Foreign Exchange Reserves 9676.20 9645.70 11233.00 853.00 USD Million [+]
Deposit Interest Rate 8.70 9.20 18.40 2.43 percent [+]
Loans To Private Sector 2326105.00 2335247.00 2344446.00 166281.00 KES Million [+]
Central Bank Balance Sheet 934656.00 946464.00 962805.00 93720.00 KES Million [+]


Kenya Interest Rate

In Kenya, interest rates decisions are taken by The Monetary Policy Committee (MPC) of the The Central Bank of Kenya. The official interest rate since August 2005 is the Central Bank Rate (CBR), which replaced the 91-day Treasury Bill (TB) rate. This page provides the latest reported value for - Kenya Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. Kenya Interest Rate - actual data, historical chart and calendar of releases - was last updated on April of 2018.

Actual Previous Highest Lowest Dates Unit Frequency
9.50 10.00 84.67 0.83 1991 - 2018 percent Daily




interest rate by Country
Country Last
Turkey 8.00 Mar/18
Mexico 7.50 Apr/18
Russia 7.25 Mar/18
Brazil 6.50 Mar/18
India 6.00 Apr/18
China 4.35 Mar/18
Indonesia 4.25 Apr/18
United States 1.75 Mar/18
Australia 1.50 Apr/18
South Korea 1.50 Apr/18
Canada 1.25 Apr/18
United Kingdom 0.50 Mar/18
Euro Area 0.00 Mar/18
France 0.00 Mar/18
Germany 0.00 Mar/18
Italy 0.00 Mar/18
Netherlands 0.00 Mar/18
Spain 0.00 Mar/18
Japan -0.10 Mar/18
Switzerland -0.75 Mar/18


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