Kenya’s private sector activity accelerated to its fastest pace in nearly four years in October 2025, according to the latest Stanbic Bank Purchasing Managers’ Index (PMI) report.
The PMI rose to 52.5 in October from 51.9 in September, marking the second consecutive month of expansion and the highest reading since February 2022.
This growth was driven by increased output, stronger sales, and renewed purchasing activity across all five sub-sectors monitored by the survey.
The improved business conditions reflect broader economic strengthening supported by easing inflationary pressures and milder input cost increases.
Companies reported shorter supply delivery times and increased inventory levels in anticipation of higher demand, particularly ahead of the holiday season. Despite some persistent challenges like cash flow issues and political uncertainty, business confidence remains strong with expectations of continued growth into 2026.
The Kenyan Ministry of Finance forecasts overall economic growth of 5.3% for both 2025 and 2026, up from 4.7% in 2024, reinforcing the positive outlook for the country’s economic recovery and expansion
