Kenya’s Manufactured Export Performance and Competitiveness: an Empirical Investigation
Abstract
Kenya has had several trade policies and reforms through export promotion initiatives to
promote trade. This paper sought to identify factors that affect export performance and
competitiveness in Kenya for the period between 1980-2011 using time series annual
data. The study used Export values as dependent variable and Terms of Trade, Trade
openness, Real Effective Exchange Rate, World Gross Domestic Product, Gross
Domestic Product and Foreign Direct Investment net inflows as explanatory variables.
The results indicate that Trade openness, Gross Domestic Product, Real Effective
Exchange Rate, Terms of Trade and World Gross Domestic Product are significant
determinants of export performance and competitiveness. It is important to note that
Kenya’s export values increased during the periods of regional integration so there is
need for Kenya to strengthen regional ties especially the EAC and COMESA in order to
increase export volumes which translate into increased trade through competition
leading export growth and performance
Citation
Degree of Masters of Arts in Economics,Publisher
University of Nairobi, School of Economics,