NAIROBI, Kenya (March 25, 2025) — East Africa’s economic growth is expected to increase to 5.7% in 2025, up from 5.1% in 2024, according to the latest economic outlook presented by the East African Business Council (EABC) in partnership with RSM Eastern Africa.
During the CEO Roundtable on East African Integration and Economic Outlook, Mr. Ashif Kassam, Executive Chairman of RSM Eastern Africa, noted that while globalization is slowing and aid flows are decreasing, the region’s growth is supported by infrastructure investments. “Kenya’s real GDP growth is projected to remain strong at 5.2%, with inflation expected to drop to 6.5% and a savings-to-GDP ratio of 13.5%,” Kassam said.
EABC Executive Director Adrian Njau emphasized the need for greater regional trade integration, pointing out that intra-EAC exports increased from 17% of total exports in 2017 to 21% in 2023, yet the share of intra-EAC trade to total trade remains stagnant at 15%.
Hon. John Lual Akol Akol, EABC Chairperson, called for the elimination of non-tariff barriers and the full implementation of EAC commitments. “We must work towards a more liberalized air transport sector and improved trade facilitation,” he said.
The event also highlighted challenges facing East African businesses, including high production costs and regulatory inefficiencies. Ms. Miriam Bomett of the Kenya Association of Manufacturers called for cross-border trade reforms to enhance competitiveness.
Additionally, experts emphasized the importance of focusing on sustainability through Environmental, Social, and Governance (ESG) principles, urging East African companies to be more globally competitive.
