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Kenya’s economy struggles to absorb graduates, Equity CEO

NAIROBI, Kenya, Aug 4 – Kenya’s economic growth is falling short in creating enough job opportunities for the increasing number of graduates from higher learning institutions, Equity Group Managing Director and CEO James Mwangi has said.

In an interview with Bloomberg Television, Mwangi noted that while Kenya remains one of the region’s fastest-growing economies, the growth has not translated into adequate employment.

“Kenya is benefiting from the tailwinds of the Eastern and Central African region being the fastest growing, but it’s not creating enough opportunities to match the students graduating from the universities,” Mwangi said.

Kenya’s economy expanded by 4.7 percent in 2024, down from 5.7 percent the previous year, mainly due to a slowdown in agriculture and weaker private sector activity. Growth is projected to rebound to 5.3 percent in 2025.

“So, you can see the economy is still in good state when you compare that with the global GDP growth rate,” he said.

Mwangi believes the private sector has a key role to play in closing the jobs gap.

“There is need to continue improving the investment environment. There’s an opportunity to look at incentives for private sector investment and to focus on consistency in policies,” he added.

By Ivan Omondi

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