Kenya’s Economy & Cost of Living 2025: Detailed Insights on Income, Expenses, and Growth

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Kenya’s economy in 2025 has a projected GDP of $116.662 billion, with an inflation rate of 7.2%. The country, home to approximately 55 million people, uses the Kenyan Shilling (KES) as its currency. The average monthly income in 2025 is estimated at 65,000 KES, reflecting steady growth over the years.

Income levels in Kenya have grown significantly from 2010 to 2025. In 2010, the average monthly income was 20,000 KES, increasing annually with growth rates ranging between 2.4% and 11.4%. The strongest income growth occurred between 2011 and 2019, peaking at 11.4% in 2012 and 2018. However, from 2023 onward, income growth slowed, dropping to 2.4% in 2024 and 2025.

Living costs have also increased consistently over the years, reaching 65,000 KES per month in 2025, up from 20,000 KES in 2010. The highest growth rates were between 2011 and 2019, mirroring income trends. However, cost-of-living growth slowed after 2020, with the lowest increase recorded in 2024 and 2025 at just 2.4%.

Housing expenses account for 40% of total costs, making it the largest budget component. The average housing cost rose from 8,000 KES in 2010 to 26,000 KES in 2025. Food expenses, which represent 25% of total spending, increased from 5,000 KES in 2010 to 16,250 KES in 2025. The highest food price growth occurred between 2011 and 2018, while post-2020 increases slowed.

Other major expenses include transportation (9%), utilities (4.5%), healthcare (11%), entertainment (7.3%), and miscellaneous costs (10%). Healthcare expenses have grown steadily, reflecting higher medical costs and inflation in the sector.

While Kenya’s economy has seen significant growth in income and living costs over the past 15 years, the recent slowdown in income growth relative to inflation could pose affordability challenges, particularly for housing and food.

Let’s take an in-depth look at Kenya’s economy, income levels, and living costs from 2010 to 2025. Get detailed insights on rent, food, and other expenses.

Country Overview

AspectDetails
CapitalNairobi
Population55 million (2025)
CurrencyKenyan Shilling (KES)
Official LanguageEnglish, Swahili
GDP (2025)⤤$116.662 billion
Inflation Rate (2025)7.2%
Average Monthly Income65,000 KES

Living Cost Per Month (Per Person) Breakdown (2025)

Expense CategoryCost (KES)Percentage (%)
Housing26,00040%
Food16,25025%
Transportation5,8509%
Utilities2,9004.5%
Healthcare7,15011%
Entertainment4,7507.3%
Miscellaneous6,50010%
Total65,000100%

Income Per Month (Per Person) (2010-2025)

YearIncome (KES)Growth (%)
201020,000
201122,00010.0%
201224,50011.4%
201327,00010.2%
201430,00011.1%
201533,00010.0%
201636,0009.1%
201740,00011.1%
201844,50011.3%
201949,00010.1%
202052,5007.1%
202156,0006.7%
202259,5006.3%
202362,0004.2%
202463,5002.4%
202565,0002.4%

Living Cost Per Month (2010-2025) (Per Person)

YearLiving Cost (KES)Growth (%)
201020,000
201122,00010.0%
201224,50011.4%
201327,00010.2%
201430,00011.1%
201533,00010.0%
201636,0009.1%
201740,00011.1%
201844,50011.3%
201949,00010.1%
202052,5007.1%
202156,0006.7%
202259,5006.3%
202362,0004.2%
202463,5002.4%
202565,0002.4%

Breakdown of Housing & Food Costs (2010-2025)

Housing Cost Per Month (2010-2025)

YearHousing Cost (KES)Growth (%)
20108,000
20118,80010.0%
20129,80011.4%
201310,80010.2%
201412,00011.1%
201513,20010.0%
201614,4009.1%
201716,00011.1%
201817,80011.3%
201919,60010.1%
202021,0007.1%
202122,4006.7%
202223,8006.3%
202324,8004.2%
202425,4002.4%
202526,0002.4%

Food Cost Per Month (2010-2025)

YearFood Cost (KES)Growth (%)
20105,000
20115,50010.0%
20126,15011.4%
20136,80010.6%
20147,50010.3%
20158,25010.0%
20169,0009.1%
201710,00011.1%
201811,15011.5%
201912,2509.9%
202013,0006.1%
202113,7505.8%
202214,5005.5%
202315,2505.2%
202415,8003.6%
202516,2502.9%

Sources:
World Bank – Data.worldbank.org
Numbeo – Numbeo.com
OECD (Organisation for Economic Co-operation and Development) –Oecd.org
IMF (International Monetary Fund) – imf.org

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