Discussion Paper No. 106 of 2009 on Implications of the Global Financial Crisis on the Kenyan Economy
View/ Open
Publication Date
2009Author
Type
Discussion Paperviews
downloads
Metadata
Show full item recordBy
Kenya Institute for Public Policy Research and Analysis (KIPPRA)
Abstract/ Overview
The Global Financial Crisis (GFC) has been traced back to the late 1990s when the United State (US)’s interest rates on the federal funds were considerably low, leading to liberal lending practices by commercial banks to clients. During the crisis, economic growth in Kenya dipped from 7 per cent in 2007 to 1.7 per cent in 2008, though this drop was largely attributed to internal shocks such as the post-election violence of 2008, and drought. Exchange rates also depreciated following a dip in net capital and financial inflows in the period, foreign reserves reduced as donor flows dropped and as Central Bank used the available reserves to defend the weakening shilling. At the sectoral level, the crisis contributed to a decline in tourist arrivals, manufacturing and in stock market activity...
Subject/ Keywords
Financial Inflows; Commercial Banks; Internal Shocks; Financial Crisis; Stock Markets
Publisher
The Kenya Institute for Public Policy Research and Analysis (KIPPRA)Series
DP/106/2009;Collections
- Discussion Papers [324]
Related items
Showing items related by title, author, creator and subject.
-
Discussion Paper No. 122 of 2010 on Efficiency of the Financial Market Intermediation Process in Kenya: A Comparative Analysis
Oduor, Jacob; Karingi, Stephen; Mwaura, Stephen (The Kenya Institute for Public Policy Research and Analysis (KIPPRA), 2010)Interest rate margins have been used severally in literature to indicate the extent of financial sector repression and inefficiency. Wide interest margins are detrimental for savings mobilization and stifle investment ... -
Discussion Paper No. 168 of 2014 on Financial Deepening, Savings Mobilization and Poverty Reduction in Kenya
Obonyo, Geoffrey (The Kenya Institute for Public Policy Research and Analysis (KIPPRA), 2014)Kenya’s Vision 2030 identifies the financial sector as one of the key sectors, as it plays a key role in mobilizing savings that are necessary for economic development. Financial deepening accelerates economic growth through ... -
Discussion Paper No. 142 of 2012 on Effects of Financial Literacy on Financial Access in Kenya
Shibia, Adan Guyo (The Kenya Institute for Public Policy Research and Analysis (KIPPRA), 2012)This study investigates effects of financial literacy on financial access in Kenya. The FinAccess National Survey 2009 shows that 60 per cent of the adult population in Kenya lacks access to formal financial services ...