NAIROBI, Sept.30 (Xinhua) -- Kenya's economy was subdued in the second quarter of 2019 (April-June), growing by 5.6 percent from 6.4 percent growth registered during the same quarter in 2018, the national statistics bureau said on Monday.
The Kenya National Bureau of Statistics (KNBS) said that while a number of sectors posted impressive performances, the overall growth was curtailed mostly by a slowdown in activities of agriculture, manufacturing and transportation.
"Agriculture's performance, as well as that of electricity and water supply, was mostly hampered by a delay in the onset of the long rains. The transportation industry was negatively impacted on by rise in prices of fuel," the KNBS said.
"On the other hand, accommodation and food services; information and communication; wholesale and retail trade; and construction industries maintained high growths and thereby supported the overall gross domestic product (GDP) growth," it said.
According to the bureau, the macroeconomic environment remained largely conducive for growth throughout the quarter under review.
Zachary Mwangi, KNBS director general said the agricultural sector is estimated to have grown by 4.1 percent compared to 6.5 percent in a similar period last year.
"The slowed growth was mainly attributed to delayed long rains that somewhat curtailed agricultural production. However, performance of the sector was supported by a 17.6 percent increase in the volume of cut flowers from 35,800 metric tons in the second quarter of 2018 to 42,100 metric tons in the review period," Mwangi said.
He observed that the agricultural sector's growth was hampered by an 18.9 percent contraction in tea production from 131,200 metric tons in the second quarter of 2018 to 106,300 metric tons during the review period.
Mwangi said that the manufacturing sector posted a slowed growth of 4.2 percent in the second quarter of 2019 compared to a growth of 4.7 percent during the same quarter of 2018.
He observed that the financial and insurance sector recorded an accelerated growth of 6.7 percent in the quarter under review compared to a growth of 4.6 per cent in a similar period last.
KNBS noted that the performance of the construction sector was relatively better in the second quarter of 2019 compared to the corresponding quarter in 2018 as the sector expanded by 7.2 percent in the quarter under review compared to a growth of 5.4 percent registered in the second quarter of 2018.
"Growth was mostly supported by the ongoing public infrastructure projects especially the construction of roads and phase two of the Standard Gauge Railway. Cement consumption, which is a key input in the industry, increased by 3.6 percent in the second quarter of 2019 compared to a contraction of 1.8 per cent the same period in 2018," it said.
According to the data agency, the transportation and storage sector recorded a slowdown in activities, registering a growth of 7.2 percent in the review quarter compared to 8.4 per cent growth recorded in the same quarter in 2018.
"The growth was supported by a pick up in air and road freight transport services," KNBS added. Enditem
