The Central Bank of Kenya Governor Kamau Thugge is optimistic inflation will ease in two months on the back of an expected bumper maize harvest in the country’s maize basket of North Rift and Western.
CBK in a survey this month revealed that Production of key food crops is expected to improve in 2023 due to improved weather conditions in 2023.
Speaking at the Equity Group Holdings of investors delegation CBK governor Kamau Thugge raised interest rate and said it will put brakes on rising inflation by August.
“At the Central Bank, we have taken the position that we are going to be quite aggressive in addressing inflationary pressures, and that’s why we increased the CBR by 100 basis points,” Thugge said.
The CBK governor assured that the economy is expected to grow robustly, by at least 5.5 percent in 2023, driven by a recovery in agriculture which started showing signs of recovery in the first quarter.