How Israel-Hamas war will hit Kenya
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GRAPHIC | STANSLAUS MANTHI | NMG
The war between Israel and Palestinian group Hamas is set to hit Kenya with fresh economic pain as oil prices rise on concerns of a destabilised Middle East and the potential strengthening of the dollar against the shilling as investors run to the safe haven of the US economy.
The conflict, which broke out two weeks ago, is threatening to draw in more actors from the Middle East, which is the main source of Kenya’s fuel imports as well as a key export destination of food and animal products.
The effects of the war are thus likely to mirror those of the Russia-Ukraine conflict —which started in February 2022 — which resulted in higher global food and fuel prices and capital flight to the West.
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