Violence closing Kenya for business

Gretchen Wilson Jan 4, 2008
HTML EMBED:
COPY

Violence closing Kenya for business

Gretchen Wilson Jan 4, 2008
HTML EMBED:
COPY

TEXT OF STORY

Doug Krizner: The violence and political unrest in Kenya closed the country’s stock market yesterday. They’re trading today, but the exchange is ready to close at a moment’s notice. The World Bank says the turmoil is rattling nearby economies. And as Gretchen Wilson reports, it’s quickly eroding a generation of gains that have made Kenya the economic hub of the region.


Gretchen Wilson: America’s top diplomat for Africa arrives in Kenya today, part of an international effort to mediate a political solution and get East Africa’s strongest economy back on track. GDP is growing at nearly 7 percent a year. Business confidence is on the rise, and there’s a fast-growing middle class.

But last week’s contested presidential election has sparked the worst unrest in decades. Hundreds have been killed in political and ethnic violence, and more than 100,000 people have fled their homes.

Shops have been looted of food and fuel. Road and rail transportation are slow, and that’s hampering trade. Businesses say they’re losing about $30 million a day. The knock-on economic effects may be huge.

Take tourism, one of the country’s biggest industries. Britain has warned against non-essential travel to Kenya, and British tour operators are suspending all trips for the next two days.

I’m Gretchen Wilson for Marketplace.

As a nonprofit news organization, our future depends on listeners like you who believe in the power of public service journalism.

Your investment in Marketplace helps us remain paywall-free and ensures everyone has access to trustworthy, unbiased news and information, regardless of their ability to pay.

Donate today — in any amount — to become a Marketplace Investor. Now more than ever, your commitment makes a difference.

Raise a glass to Marketplace!

Just $7/month gets you a limited edition KaiPA pint glass. Plus bragging rights that you support independent journalism.
Donate today to get yours!