r APO New York 09675); telephone [254] (2) 334141; there
is a US Consulate in Mombasa

_#_Flag: three equal horizontal bands of black (top), red, and green;
the red band is edged in white; a large warrior's shield covering crossed
spears is superimposed at the center

_*_Economy
_#_Overview: A serious underlying economic problem is Kenya's 3.6%
annual population growth rate--one of the highest in the world. In the
meantime, GDP growth in the near term has kept slightly ahead of
population--annually averaging 4.9% in the 1986-90 period. Undependable
weather conditions and a shortage of arable land hamper long-term
growth in agriculture, the leading economic sector.

_#_GDP: $8.5 billion, per capita $360; real growth rate 4% (1990
est.)

_#_Inflation rate (consumer prices): 10.9% (1990 est.)

_#_Unemployment rate: NA%, but there is a high level of unemployment
and underemployment

_#_Budget: revenues $2.0 billion; expenditures $2.3 billion, including
capital expenditures of $NA billion (FY89)

_#_Exports: $1.1 billion (f.o.b., 1990 est.);

commodities--tea 25%, coffee 21%, petroleum products 7% (1989);

partners--EC 44%, Africa 25%, Asia 5%, US 5%, Middle East 4% (1988)

_#_Imports: $2.4 billion (c.i.f., 1990 est.);

commodities--machinery and transportation equipment 29%,
petroleum and petroleum products 15%, iron and steel 7%,
raw materials, food and consumer goods (1989 est.);

partners--EC 45%, Asia 11%, Middle East 12%, US 5% (1988)

_#_External debt: $5.8 billion (December 1990 est.)

_#_Industrial production: growth rate 5.4% (1989 est.); accounts
for 17% of GDP

_#_Electricity: 730,000 kW capacity; 2,700 million kWh produced,
110 kWh per capita (1990)

_#_Industries: small-scale consumer goods (plastic, furniture,
batteries, textiles, soap, cigarettes, flour), agricultural processing,
oil refining, cement, tourism

_#_Agriculture: most important sector, accounting for 29% of GDP,
about 80% of the work force, and over 50% of exports; cash
crops--coffee, tea, sisal, pineapple; food products--corn, wheat,
sugarcane, fruit, vegetables, dairy products; food output not keeping
pace with population growth

_#_Illicit drugs: illicit producer of cannabis used mostly for
domestic consumption; widespread cultivation of cannabis and qat on
small plots; transit country for heroin and methaqualone en route
from Southwest Asia to West Africa, Western Europe, and the US

_#_