Lilian Nyiva
World Bank Projects Increase in Poverty Levels Amid Economic Challenges
The World Bank has warned that Kenya could experience rising poverty levels if current economic challenges persist, citing pressures on household incomes, inflation, and slower economic growth affecting vulnerable populations.
The institution noted that while Kenya's economy continues to show resilience in several sectors, many households remain exposed to the high cost of living and limited employment opportunities.
Factors Behind the Outlook
According to the World Bank's assessment, poverty risks are driven by factors including high living costs, climate-related shocks affecting agriculture, and uneven economic recovery across different sectors.
The report suggests that targeted social protection programmes, investment in job creation, and sustained economic reforms will be essential in reducing poverty and improving livelihoods.
Government Response
The Kenyan government has maintained that ongoing economic reforms are intended to stabilise the economy, increase investment, create employment opportunities, and lower the cost of living over time.
The World Bank's projections are intended to inform policymakers and stakeholders as they develop strategies to support inclusive economic growth and protect vulnerable households.
