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Kenyan has continued registering strong economic growth in the second quarter of 2016. It is projected that the growth will remain on course and expand by over 6.0 per cent in the last quarter of 2016 and rise to 6.5 per cent in 2017.


The National Treasury Cabinet Secretary Mr. Henry Rotich said that the country’s growth is much higher than the average for the Sub-Saharan African region of 1.4 per cent while launching the Regional Economic Outlook for Sub-Saharan Africa today at Serena Hotel in Nairobi.
“Kenya’s robust economic growth is supported by the ongoing investments in infrastructural development, private sector investments resilient domestic demand, private sector investments, recovery in the tourism sector and growth in exports to the sub region”, Mr. Rotich said .
He said that the Government is in the process of widening its tax base especially in the informal sector to finance its ongoing infrastructural development.
Mr. Rotich said that he will focus on implementing more reforms in tax legislationto enable the government seal loopholes and to increase revenue collection.
He added that the country is doing well in revenue collection which currently stands at 20 per cent while South Africa is at 25 per cent of the Gross Domestic Product. Majority of Sub-Saharan Africa are way behind with 10-17 per cent.
“In order to reach the level of South Africa which is the country’s benchmark now, it will take a gradual process because new tax legal framework measures take time to enact and implement”, the CS said.  
Mr. Rotich said that those countries that are doing well (Developed countries) normally raise at least 40 per cent of their GDP in revenue.
He said that the Government is expanding domestic financing and would go to international market for another Eurobond at the appropriate time.
“The Government must access concessional loans first before issuing a Eurobond”, he said. The CS said that the public debt will continue being sustainable as long as Kenyans continue to innovative to generate more resources leading to raising more revenue.
Mr. Rotich said that the Government is reviewing and harmonizing wages for the next financial bill while awaiting the new income tax bill to become operational. He urged Kenyans to live within their means to avoid financial shocks that are being experienced by other countries now.
Otherswho were present during the launch included;Mr. Abebe Selassie, Director of African Department, IMF, Mr. Ben Clements, IMF Mission Chief, Mr. Morales Armado, IMF Resident Representative, Kenya among other officials.

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Cabinet Secretary National Treasury Henry Rotich makes the opening remarks today during the launch of the Regional Economic Outlook for Sub-Saharan Africa at Serena Hotel in Nairobi. Rotich said overall, growth in Sub-Saharan Africa (SSA) is projected to decelerate to 1.4 % in 2016, in contrast to the high growth rates of the past 15 years. On Kenya, he said the country has continued to register strong economic growth, expanding at 6.2 % in second quarter of 2016, and projected to remain on course and expand by over 6.0% in 2016 and around 6.5% over the medium.


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Cabinet Secretary National Treasury Henry Rotich(Right) and Abebe Aemro Selassie, Director - Africa Department Department, IMF keenly follow proceedings today during the launch of the Regional Economic Outlook (REO) for Sub-Saharan Africa at Serena Hotel in Nairobi.

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Abebe Aemro Selassie, Director - Africa Department Department, IMF (Left) with Cabinet Secretary National Treasury Henry Rotich answer questions from journalists today during the launch of the Regional Economic Outlook (REO) for Sub-Saharan Africa at Serena Hotel in Nairobi.


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Abebe Aemro Selassie, Director - Africa Department Department, IMF delivers the keynote address today during the launch of the Regional Economic Outlook (REO) for Sub-Saharan Africa at Serena Hotel in Nairobi.

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Cabinet Secretary National Treasury Henry Rotich chats with Businessman Chris Krubi today during the launch of the Regional Economic Outlook for Sub-Saharan Africa at Serena Hotel in Nairobi.  Mr Rotich said the country has continued to register strong economic growth, expanding at 6.2 % in second quarter of 2016, and projected to remain on course and expand by over 6.0% in 2016 and around 6.5% over the medium. He said overall, growth in Sub-Saharan Africa (SSA) is projected to decelerate to 1.4 % in 2016, in contrast to the high growth rates of the past 15 years.

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Cabinet Secretary National Treasury Henry Rotich (Right) with Dr Geoffrey Mwau, Economics Secretary, National Treasury (2nd Right) and other government officials and development partners follow proceedings today during the launch of the Regional Economic Outlook for Sub-Saharan Africa at Serena Hotel in Nairobi.  Mr Rotich said the country has continued to register strong economic growth, expanding at 6.2 % in second quarter of 2016, and projected to remain on course and expand by over 6.0% in 2016 and around 6.5% over the medium. He said overall, growth in Sub-Saharan Africa (SSA) is projected to decelerate to 1.4 % in 2016, in contrast to the high growth rates of the past 15 years.


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A section of regional leaders, government officials and development partners in attendance today during the launch of the Regional Economic Outlook for Sub-Saharan Africa at Serena Hotel in Nairobi.  Mr Rotich said the country has continued to register strong economic growth, expanding at 6.2 % in second quarter of 2016, and projected to remain on course and expand by over 6.0% in 2016 and around 6.5% over the medium. He said overall, growth in Sub-Saharan Africa (SSA) is projected to decelerate to 1.4 % in 2016, in contrast to the high growth rates of the past 15 years.


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