Real estate hits six-year low on poll jitters, credit crunch - News Summed Up

Real estate hits six-year low on poll jitters, credit crunch


By CONSTANT MUNDAMore by this AuthorThe real estate sector grew at the slowest pace in six years in the three months to September last year, hurt by jitters over the prolonged electioneering period and a credit crunch. The slowdown in the property sector is mirrored in other related industries like the cement, timber and metal markets. Housing has been one of Kenya’s fastest growing sectors over the last decade, with returns from real estate outpacing equities and government securities. GDP growth fell to 4.4 per cent from 5.6 per cent in 2016. Credit growth has also slowed, partly because of a cap on commercial bank lending rates imposed in September 2016. Flow of funds to the property sector grew by a measly 0.3 per cent compared to 6.2 per cent in the same period in 2016, the KNBS said.


Source: Daily Nation January 03, 2018 08:26 UTC


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