Kenya’s private sector activity expands in September, PMI survey shows

Kenya’s Private Sector Activity Expands in September, PMI Shows
Kenya’s private sector activity expanded in September, the first time since April that the business‑activity index rose above the growth threshold. The Stanbic Bank Kenya Purchasing Managers’ Index (PMI) climbed to 51.9 in September from 49.4 in August.
The improvement was driven by stronger performance across most sectors, though construction remained weak. The PMI reading above 50 indicates growth in business activity, a positive sign after a period of contraction. The bank noted that business conditions expanded in September, implying the start of a recovery after the disruptions that followed protests in Q2:25 (second quarter 2025).
Analysts and policymakers welcomed the uptick as a hopeful signal for Kenya’s economy. The expansion suggests that despite headwinds, including fiscal pressures and debt concerns, the private sector is beginning to regain momentum. The rebound in activity may help improve credit growth and investor sentiment, but caution remains: construction output fell sharply and may drag on broader recovery.
Looking ahead, the key question is whether this improvement in private‑sector activity will be sustained and translated into stronger overall economic growth. For that to happen, Kenya needs to ensure stable macro‑economic conditions, support for troubled sectors like construction, and improved access to credit for firms. If those pieces fall into place, the September PMI could mark the start of a more robust recovery.