Kenya's gains from plummeting global prices may be canceled out by low foreign income value as domestic import and tourism market tighten expenditure. Some of Kenya's commodities likely to take a hit from the price tiff include tea, coffee, and vegetables, mostly exported to oil-producing countries. East African Tea Trade Association managing director Edward Mudibo does not see any correlation between global oil prices and tea earnings, insisting that 76 per cent of Kenya's tea is exported to non-oil-producing countries. According to Kenya Private Sector Alliance (Kepsa), the drop in global oil prices will likely help ease inflation that is expected to surge on economic shocks brought about by the spread of coronavirus. Cheaper crude oil prices will, however, help local businesses cut operational costs,'' Kespa said in its report on the impact of coronavirus.

Source: The Star March 13, 2020 06:56 UTC