This archive report was first published on 9 July 2020.
July 9, 2020 - The COVID-19 pandemic has left a trail of economic devastation in its wake, with a recent study by the Kenya National Bureau of Statistics (KNBS) revealing that 61% of Kenyans were unable to pay their rent in May.
The study, conducted on May 31 and June 6, also found that 62.2% of respondents were unable to afford bus fare, with 19.4% opting for boda boda as an alternative means of transport.
According to the report, released by Cabinet Secretary for Treasury Ukur Yattani, only 0.7% of Kenyans residing in rental houses had received a rent waiver or relief from landlords.
Speaking on the financial distress caused by the pandemic, CS Yattani noted that 41.9% of households had cut on financial spending on commodities they could do without, while 14.8% took a loan from a friend/relative/neighbor.
Notably, 36.7% of households did not take any measure to overcome the financial distress caused by the COVID-19 pandemic.
Only 18.4% of respondents said they had received financial support from relatives or friends, with a higher proportion (22.9%) of female-headed households receiving cash transfers/remittances from relatives or friends compared to 16.9% of male-headed households.
The study was conducted through Computer Assisted Telephone Interviews (CATI) approach.
The slowed economic performance is largely attributed to the far-reaching COVID-19 containment measures imposed on April 6, including the banning of inter-county travel, which resulted in the closure of most transport and tourism-linked businesses.
President Kenyatta has since lifted travel restrictions into and from Nairobi, Mombasa, and Mandera county, with domestic flights scheduled to commence on July 15 in a bid to reinvigorate the economy.
