Prime Cabinet Secretary Musalia Mudavadi has exuded confidence that the economy will recover but remained coy on giving a timeline.
Mudavadi blamed external forces like the war in Ukraine for the sluggish economic growth but said there is hope in the long term.
"Yes, there's hope of things getting better. My estimate is that if we maintain tough and stringent policies and we use our resources properly, within a two-year period, or two-and-a-half year period, we shall see very good signs of recovery," he said.
He said no one anticipated that the Russia-Ukraine conflict would last for more than 500 days when Vladimir Putin invaded the country in February 2024.
"What has it done, it has affected the supply chain of fertiliser and other commodities which are impacting the global economy," he said.
Mudavadi further cited the United State's decision to raise its interest rates causing demand for the dollar and thus raising the exchange rate.
He said the strength of the Kenyan shilling as is the case with other currencies globally is dependent on the dollar.
"What happens is that dollars then start moving from other parts and going for higher interest in the United States and in Europe," he said.
The Prime CS also blamed Kenya's slow economic growth on the prolonged drought experienced particularly in 2022.
He said the drought was so severe it was rated the worst in 40 years.
"We are just coming out of it. Did Kenyans anticipate that Covid would have a devastating impact on the global arena to an extent that it affected institutions like Kenya Airways?" he posed.
"So there are issues that have come into play that are global and beyond the control of Kenyans."
