Treasury PS Chris Kiptoo says Kenya’s economy stable despite global shocks
By Bancy Lole, July 17, 2026National Treasury Principal Secretary Chris Kiptoo has assured Kenyans that the country’s economy remains stable, saying government reforms have restored macroeconomic stability despite years of global economic shocks.
Speaking on July 16, 2026, during the burial of the late Josphat Karinga Njagi in Gichugu, Kirinyaga County, Kiptoo said Kenya had faced significant external challenges since 2022, including the lingering effects of the COVID-19 pandemic and the Russia-Ukraine war, which drove up inflation, weakened the Kenya shilling and complicated public debt management.
“The external factors manifested in a very big way. Domestic prices went up, inflation rose to almost 9.6 per cent, the shilling came under a lot of pressure, and we experienced challenges in managing our debt,” Kiptoo said.
He said the government had implemented deliberate economic reforms over the past three years, leading to a steady recovery.
“But in the last three years or so, we have worked very hard to stabilise the economy. Inflation has come down to as low as almost 2.7 per cent, although it later moved to around 4.4 per cent. We have stabilised the shilling, as you are aware,” he said.
Steps taken by the govt
He noted that through deliberate government interventions over the last three years, the economy has steadily recovered.
“But in the last three years or so, we have worked very hard to stabilise the economy. Inflation has come as low as almost 2.7%, but still went back to around 4.4%. We have stabilised the shilling, as you are aware.” PS added.
The Treasury PS also encouraged Kenyans to invest in the Nairobi Securities Exchange, noting that investors who entered the stock market in recent years have more than doubled their investments due to improved market performance.
“Macroeconomic stability has been achieved, and the stock market has performed exceptionally well. Those who invested have seen significant returns,” he said.
Despite the gains, Kiptoo acknowledged that the government continues to face fiscal challenges, particularly in balancing revenue collection with rising public expenditure.
“Everybody wants money, yet revenues are not growing as fast as our spending needs. This forces us to finance budget deficits. However, we remain committed to fiscal consolidation because it is in the country’s best interest to reduce debt and sustain economic stability,” he said.
On the ongoing crisis in the Middle East, Kiptoo said Kenya has so far been shielded from severe economic impacts due to the resilience built over the past three years.
“We have put in place measures to ensure the country continues to have adequate energy supplies despite the prevailing global uncertainties,” he added.
Kiptoo also urged Kenyans to remain united, saying national cohesion is critical to the country’s continued growth and development.
“We have a great country, and we have no other country but Kenya. Every time we face challenges, we overcome them because we are resilient. Let us continue promoting unity, love one another and work together for the good of our nation,” he said.