The Eastern Africa Association is a source of insightful and helpful publications, guides, and advice for all visitors to our website. Contributors include EAA analysts, our Members, and a wide range of experts and official commentators. As a key service for Members only, we produce a regular Newsletter which contains our analysis of developments in the region.
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The three countries approached the disruption using different methods but underscore the significance responsible integration in Central and East Asian markets has on energy security in addition to the impact national governance planning has on managing political risk.
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Politically the country seems to be in a muddle with an opposition that is not united and a clear lack of checks and balances. The economy is growing but given Kenya has been the region’s economic powerhouse, the fact that it ranks 6th in terms of growth among the East African Community States, is a concern.
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As long as the Iran conflict continues, the Strait of Hormuz remains closed, and energy facilities in the Middle East face damage, the world is likely to see shortage of both oil and gas. The resulting increase in prices is likely to have a significant impact on the global economy which prior to 28th February 2026 was showing signs of growth. The world is facing considerable uncertainty going forward, which does not bode well.
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Politically the country is going through some turmoil and with it heading to elections in a little under 18 months, we are likely to see more confusion. The economy is projected to slow down with the impact of the Middle East conflict and seeking funds from the World Bank and IMF will see strict conditions placed. Reducing expenditure is the key but one the Government does not seem aligned to.
Read MoreClearly, the world is currently in a strange place and the possibility of World War 3 cannot be downplayed. It is imperative that the parties to the conflict find a solution at the earliest.
Read MorePolitical uncertainty for the future remains a key point and over the next few months; expect to see new alliances being formed which will bring a clearer picture of what could transpire. The economy continues to grow but it is questionable as to how this has improved the trickle-down to the lowest strata of the country. The Shilling has remained stable for nearly two years now.
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Overall, 2026 is going to be an interesting year! This is a commentary and comments are welcome by email to: info@eaa.co.ke . The views expressed here are not necessarily those of the Association.
Read MoreThe country seems to be in perpetual election campaign mode at the moment although the elections are still 18 months away. There is uncertainty as to whether the Broad-Based Government will stay together. The improvement in the Fitch rating is welcome.
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This is a commentary and comments are welcome by email to: info@eaa.co.ke . The views expressed here are not necessarily those of the Association.
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