Jijenge Credit CEO Peter Macharia Kamau Reflects on Kenya’s Economic Wins in 2024 and Looks Ahead to 2025
By John Kariuki
Peter Macharia Kamau, the CEO of Jijenge Credit Limited, has shared his reflections on Kenya’s economic performance in 2024, highlighting significant achievements while offering an optimistic outlook for 2025.
“Today, I want to talk about the 2024 economy and what to look forward to for 2025. Please read, don’t judge,” he begins, inviting Kenyans to reflect on the year’s economic milestones.
One of the notable achievements in 2024 was the Central Bank of Kenya’s decision to lower the Central Bank Rate (CBR) from 13% to 11.25%. This move signaled growing confidence in Kenya’s macroeconomic stability and created a more favorable credit environment, encouraging borrowing and investment across various sectors.
Kenya’s foreign exchange reserves reached a three-year high of $9.0 billion, equivalent to 4.6 months of import cover. This development significantly reduced the country’s external vulnerabilities, instilling confidence in its ability to meet international obligations. Meanwhile, the Kenyan Shilling appreciated by over 21% against the US Dollar, with the exchange rate now at KES 129.3 to the dollar. This remarkable recovery reflects strong policy interventions and increased foreign inflows, which have contributed to the stabilization of the local currency.
In June 2024, Kenya successfully redeemed its $2 billion Eurobond, defying expectations of default seen in other countries like Ethiopia, Ghana, and Zambia. This achievement underscored Kenya’s fiscal discipline and its ability to honor international debt obligations, enhancing its credibility in the global financial market.
Inflation also hit a historic low, dropping to 2.8% in November 2024, the lowest level in 14 years. This milestone was achieved through effective monetary policies and the stabilization of food prices, providing much-needed relief to households and businesses.
Remittances from Kenyans living abroad grew by 16.7% over the 12 months leading to November 2024, totaling $4.9 billion. These inflows have been instrumental in supporting the country’s current account and foreign exchange reserves, further strengthening Kenya’s economic resilience.
As 2024 comes to a close, Macharia notes that these indicators are a testament to Kenya’s resilience and sound economic management. He urges citizens to remain hopeful and forward-looking, emphasizing that these gains set the stage for a promising 2025.
With improved monetary policies, increased foreign confidence, and a stable economic environment, Kenya is well-positioned to build on its 2024 successes. Macharia’s analysis serves as both a reflection and a call to action for continued efforts to sustain and amplify these positive trends. His message resonates with optimism, reminding Kenyans that while challenges persist, the achievements of 2024 provide a strong foundation for a brighter economic future.
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