Quarterly Market Analysis Report April-June 2021

Abstract

The global economy is expected to grow by 6.0 per cent in 2021, with emerging markets and developing economies making the highest contribution to this growth. Sub-Saharan Africa is expected to grow by 3.4 per cent in 2021, supported by improved exports commodity prices and a recovery of private consumption and investment. Kenya’s economy is projected to grow by 7.6 per cent in 2021. The overall inflation in Kenya in the second quarter of 2021 averaged 5.98 per cent compared to 5.31 per cent in the same quarter in 2020. In the period, inflation increased mildly from a low of 5.76 per cent in April 2021 to 6.32 per cent in June 2021. Fuels were the major contributors to overall inflation, and this was occasioned by the increase in international oil prices during the quarter where for instance, Murban crude oil prices increased by 14.18 per cent from a low of US$ 63.52 per barrel in April 2021 to US$ 72.53 per barrel in June 2021.