Stephen Benard Mbithi

Current Account Deficit Dynamics in Kenya: Evidence from Time-series Data (1980-2014)

Stephen Benard Mbithi & Cyrus Mutuku · Journal of Economics, Management and Trade · 2017

As a rule of thumb, current account deficit should not exceed 5% of GDP. If it exceeds, it must raise concerns about its sustainability. In Kenya, current account balance deficit increased to 10.5% of the GDP by 2014 and 8.3% in 2015. Empirical evidence shows that there is an uns...