EAC Central Bankers Forecast Regional Economy to Expand by 5.8% in International Edition (English)

Addis Ababa, May 10, 2025 (ENA) —






The central bank governors of the East African Community (EAC) anticipate that the regional economy will manage to endure current global challenges and achieve a more robust economic expansion of 5.8% this year.

Head of the EAC Monetary Affairs Committee






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The Governor of the Central Bank of Kenya, Kamau Thugge, stated that the growth forecast will be bolstered by the ongoing robust performance in the agricultural and service industries.

During the 28th regular session of the EAC Monetary Affairs Committee, Thugge expressed these comments. The gathering included central bank chiefs from Burundi, Kenya, Uganda, Tanzania, Somalia, Rwanda, and South Sudan.

Despite the favorable growth forecast, the top financial institutions of the East African Community warned that potential threats still persist. These dangers primarily stem from international trade disputes, political uncertainties, and environmental shifts caused by climate change.

Governors stated that the average inflation rate in the area dropped to 9% in 2024 from 11.2% in 2023. This decline can be attributed to various factors including the effects of monetary policies, better availability of food resulting from good weather patterns, and a reduction in global commodity costs. It is anticipated that this trend will persist into 2025 with further moderation of inflation rates in most regions within the area.

Thugge mentioned that the economic performance within the EAC region has maintained notable robustness in spite of global disruptions, primarily due to solid output from the agricultural industry along with the steadfast nature of the services, mining, and oil industries.

The gathering assessed the advancement achieved in executing the updated plan for attaining the East African Monetary Union by 2031.