World Bank2014-09-102014-09-102014-06https://hdl.handle.net/10986/20028Kenya's economy remains strong, enabling it to weather the headwinds it faces. Maintenance of macroeconomic stability and adherence to credible policies has underpinned Kenya's growth in the past. Continuing to adhere to these policies will help the country surmount domestic shocks, allowing it to grow 4.7 percent a year in 2014 and 2015. Addressing the pressures emerging from fiscal expansion is a priority. The large public sector wage bill and devolution have reduced fiscal buffers and increased fiscal risks. Kenya's health outcomes are not commensurate with its aspirations of achieving middle income status. Global evidence indicates that investing in primary health care is the most cost-effective way to improve health outcomes. Key recommendations to stabilize and sustain a robust growth include: (a) deepening fiscal consolidation without reducing infrastructure spending; and (b) expanding the engines of growth to include not only consumption but also investments and exports. Key recommendations that can help Kenya improve the delivery of primary health care include: (a) focusing first on making existing public primary health care facilities operational; (b) building on partnerships with faith-based organizations and partner with the private sector; and (c) the use of fixed facilities, such as inpatient services in many health centers that are grossly underutilized.en-USCC BY 3.0 IGOAGGREGATE DEMANDAGRICULTURAL OUTPUTAGRICULTURAL PRODUCTIONAGRICULTUREANNUAL GROWTHASSET QUALITYBALANCE OF PAYMENTBALANCE OF PAYMENTSBALANCE OF TRADEBANK ACCOUNTSBANK RATEBANKING SYSTEMBASIS POINTSBUDGET DEFICITBUFFERSCAPITAL ACCOUNTCAPITAL FLOWSCAPITAL FORMATIONCAPITAL GOODSCAPITAL INFLOWSCENTRAL BANKCOMMERCIAL BANKCOMMERCIAL BANK LENDINGCOMMERCIAL BANKSCOMMODITY PRICESCONSOLIDATIONCONSUMER DURABLESCONSUMER PRICE INDEXCONSUMPTION SPENDINGCORE INFLATIONCPICREDIT GROWTHCREDITORSCURRENT ACCOUNTCURRENT ACCOUNT DEFICITDEBT REPAYMENTDEFICIT FINANCINGDEPOSITDEPOSITSDEVOLUTIONDISBURSEMENTSDOMESTIC CONSUMPTIONDOMESTIC DEBTDOMESTIC DEMANDDOMESTIC INTEREST RATESDOMESTIC MONEY MARKETDOMESTIC SECURITYECONOMIC ACTIVITYECONOMIC GROWTHECONOMIC PERFORMANCEELECTRICITY GENERATIONEMPLOYMENTENVIRONMENTALENVIRONMENTAL PROTECTIONEQUIPMENTEQUITIESEURO ZONEEUROBONDEXCHANGE RATEEXCHANGE RATESEXPENDITUREEXPORTSEXTERNAL BALANCEEXTERNAL BORROWINGEXTERNAL DEBTEXTERNAL DEMANDEXTERNAL FACTORSEXTERNAL FINANCEEXTERNAL POSITIONEXTERNAL PRESSURESEXTREME POVERTYFEDERAL RESERVEFINANCIAL INSTITUTIONSFINANCIAL INTERMEDIATIONFINANCIAL MANAGEMENTFINANCIAL MARKETSFINANCIAL SECTORFINANCIAL TRANSACTIONSFISCAL DEFICITFISCAL DEFICITSFISCAL POLICIESFISCAL POLICYFISCAL POSITIONFIXED CAPITALFOOD PRICESFOREIGN CURRENCYFOREIGN DIRECT INVESTMENTFOREIGN FINANCINGFOREIGN INTERESTGDPGDP PER CAPITAGLOBAL ECONOMYGOVERNMENT BORROWINGGOVERNMENT DEBTGOVERNMENT EXPENDITUREGOVERNMENT EXPENDITURESGOVERNMENT PAPERGOVERNMENT REVENUEGOVERNMENT SECURITIESGROSS FIXED CAPITAL FORMATIONHEALTH SERVICESHOLDINGSIMPORTIMPORTSINCOME TAXINFLATIONINFLATION EXPECTATIONSINFLATION RATEINFLATION RATESINFLATIONARY EXPECTATIONSINFLATIONARY PRESSURESINSURANCEINTEREST PAYMENTSINTEREST RATEINTEREST RATE VOLATILITYINVENTORIESINVENTORYINVESTINGINVESTMENT ACTIVITIESINVESTMENT DEMANDINVESTMENT EXPENDITUREINVESTMENT FLOWSLAWSLEVYLIQUIDITYLOANLOCAL GOVERNMENTLONG-TERM CAPITALLONG-TERM INTERESTLONG-TERM INTEREST RATELONG-TERM INTEREST RATESM1M2M3MACROECONOMIC ENVIRONMENTMACROECONOMIC INSTABILITYMACROECONOMIC MANAGEMENTMACROECONOMIC POLICIESMACROECONOMIC STABILITYMARKET INTEREST RATESMONETARY AGGREGATESMONETARY CONDITIONSMONETARY POLICYMONEY MARKETMONEY SUPPLYMONEY TARGETNATIONAL SECURITYNATIONAL TREASURYNATURAL RESOURCESNET EXPORTSNOMINAL WAGENONBANK FINANCIAL INSTITUTIONSNONBANK INSTITUTIONSNONPERFORMING LOANSOILOIL PRICESPENSIONPENSIONSPER CAPITA INCOMEPOLITICAL UNCERTAINTIESPOLITICAL UNCERTAINTYPORTFOLIOPORTFOLIO FLOWSPRIVATE CONSUMPTIONPRIVATE CREDITPRIVATE CREDIT GROWTHPRIVATE INVESTMENTPRIVATE SECTOR CREDITPRODUCTION COSTSPUBLIC DEBTPUBLIC EXPENDITURESPUBLIC EXTERNAL DEBTPUBLIC INVESTMENTPUBLIC POLICYQUALITY OF ASSETSRATE OF GROWTHREAL GDPREAL WAGESRECURRENT EXPENDITURERECURRENT EXPENDITURESREMITTANCEREMITTANCESREPOREPO RATESRESERVE MONEYRETAIL PRICESRETIREMENTRISK AVERSESAVINGSSECURITIES EXCHANGESHORT-TERM INTEREST RATESSHORTFALLSHORTFALLSSLOW GROWTHSTABLE EXCHANGE RATESSTOCKSSTRUCTURAL REFORMSSURPLUSTAXTAX COLLECTIONTAX COLLECTIONSTAX REVENUETOTAL REVENUETRADE BALANCETRADINGTRADING PARTNERSTRANSMISSION MECHANISMTRANSPORTTREASURY BILLURBAN DEVELOPMENTVALUE ADDEDVULNERABILITY TO SHOCKSWAGESWORLD DEVELOPMENT INDICATORS10.1596/20028