More Kenyans Got Employed in Private Sector in June, Highest Level Since 2016

By  |  July 4, 2019

More Kenyans got employed in the private sector in June, the highest level recorded since December 2016, this is according to Stanbic Bank’s Purchasing Managers Index.

The report highlighted that the high employment was encouraged by the increased demand for goods in the domestic and foreign markets which further pushed the private sector growth to a 10-month high of 54.3 in June.

The growth in the sector signals improved operating conditions for the Kenyan private sector businesses,  any Purchasing Managers’ Index (PMI)  reading above 50  signals growth.

Stanbic ‘s regional economist for East Africa Jibran Qureishi, says that the growth was partly caused by the government’s release of payments owed to both contractors and suppliers as well as VAT refunds.

In his 2019/20  budget speech, Treasury CS Henry Rotich expressed  government’s commitment to pay 10.9 billion shillings owed to its suppliers by the end of June

Cross-Border Money Transfer In Africa: Is Bitcoin The Golden Silver Bullet?


Most of the firms surveyed noted that their client base widened and that they received more orders during the month.

“The rate of increase for the output was markedly faster than in May, with only January posting stronger growth in the year-to-date. Some businesses related the rise in output to improved cash flow during the month, while others highlighted the impact of marketing activity on sales volumes.

“This fed through into a solid increase in staff numbers that was the quickest seen in two-and-a-half years,” the report noted.

Firms highlighted that a number of inflationary effects, such as higher taxes, fuel hikes, and increased input demand forced overall input costs to rise steeply, hence forcing them to raise prices.

Additionally, over the month of June, 92% of the companies expressed optimism of a better output in the next year, this was characterized by plans to open new branches and expand into other markets.

Image Featured Courtesy: Daily Nairobian Kenya

Journalism is broken in Africa

Help us build a narrative on African Business, Startups, Tech and Economy
Join us today to empower great story telling, one story at a time

Monthly Membership


(billed monthly)

Access To 1 Month WT Membership

Access To Premium Newsletters For 1 Month

1 Month Access To WT's Content Archive

Access To WT's Conferences & Events

Access To All WT's Research Reports On Africa

Access To Podcasts, Video Content & Recordings

Subscribe Now

Annual Membership


(billed annually)

Access To 12-Month WT Membership

Access To WT's Conferences & Events

Access To All WT's Research Reports On Africa

Access To Podcasts, Video Content & Recordings

Access To All Premium Newsletters

Unlimited Access To WT's Content Archive

Subscribe Now

If you are a Corporate or a Student, please reach out to us for subscription at [email protected]