Courtesy call by ABSA Bank Officials.
Earlier today, PS Dr. Chris Kiptoo, CBS , met with top ABSA Bank officials who paid a courtesy call on him at his Treasury Building office, led by the bank CEO, Mr. Abdi Mohamed. In their discussions, the PS stated that Kenya is on a firm path to economic recovery, with clear signs of macroeconomic stability and renewed growth momentum.
Dr. Kiptoo explained that following a period of global and domestic economic pressures, the government’s deliberate fiscal and monetary interventions are now bearing fruit. The PS explained that inflation has steadily eased and is now within the Central Bank’s target range, supported by, among other factors, a decline in global commodity prices and prudent monetary policy. This, he noted, has helped restore both business and investor confidence.
He further observed that the Kenyan shilling has strengthened, buoyed by increased foreign exchange inflows and growing confidence in the government’s fiscal management. He said that the government continues to implement a disciplined fiscal consolidation programme, which includes enhanced revenue collection and rationalized public spending. These efforts are underpinned by strong coordination between fiscal and monetary authorities, ensuring policy alignment and predictability—both critical to maintaining macroeconomic stability. He said all these efforts have contributed to Kenya’s positive economic outlook: "As these fundamentals improve, Kenya’s growth outlook remains positive.
The economy is projected to expand from 4.6 per cent in 2024 to 5.3 per cent in 2025." He noted. Dr. Kiptoo emphasized that to sustain this growth, the government is working closely with the private sector—particularly financial institutions like ABSA—to expand access to affordable capital, support MSMEs, and unlock investment in inclusive and sustainable development.
The PS pointed out the government’s ongoing reforms in public financial management, with a particular focus on the transition to the electronic Government Procurement (e-GP) system that was launched last Monday by the Cabinet Secretary for the National Treasury and Economic Planning Hon FCPA John Mbadi.
The PS said that this digital platform, is envisaged to be a game changer as it will enhance transparency, efficiency, and accountability in public spending. "By automating procurement processes, e-GP will help to curb wastage, reduce delays, and improve value for money across government ministries and agencies. He added that “Through e-GP, we are ensuring that every shilling spent delivers maximum impact, and we expect every government spending entity to comply.”
The ABSA CEO commended the government for its strong macroeconomic management and reaffirmed ABSA’s commitment to supporting Kenya’s development agenda through enhanced collaboration. “We applaud the government’s progress in stabilizing the economy and enhancing investor confidence. These reforms are not only timely but essential in positioning Kenya as a competitive investment destination,” said Mr. Mohamed.