World Bank Flags Inflation Risk for Kenya as Iran Conflict Threatens Economic Growth

The World Bank warned that ongoing geopolitical tensions, particularly the war in Iran, could increase inflation and undermine economic growth in Africa, especially for oil-importing countries like Kenya. The growth forecast for 2026 has been cut to 4.1%, while inflation is expected to rise to 4.8%. Due to Kenya's reliance on imported fuel and food, about one million people could be pushed into poverty.