Destination Point Kenya

Financing of Capital Formation  
  
Capital formation is financed by domestic savings, grants and net borrowing from abroad. In 2008, the economy was able to finance capital formation from grants and domestic savings alone. Grants from abroad recorded a growth of 37.8 per cent. The impact has been stimulated by grants that are being channeled to [...]

The sector’s performance was characterised by slowed growth in money supply, increased net foreign assets and a slump in the growth of domestic credit. Credit to Central Government dropped by 4 per cent while private sector received 9.1 per cent more credit in 2008.

The banking sub-sector, recorded a much slower growth and higher non-performing loan [...]