Kenya–Tanzania trade falls for first time in nearly a decade

The contraction of trade between Kenya and Tanzania comes despite improved diplomatic ties, pointing to emerging economic pressures.

Photo credit: PCS

Kenya’s trade with Tanzania has contracted for the first time in nearly a decade, retreating from a record high and raising fresh concerns about slowing momentum between East Africa’s two largest economies.

Analysis of official trade data shows that total trade between the two neighbours fell by 9.4 percent to Sh114.1 billion in 2025 from an all-time high of Sh125.9 billion in 2024, marking the first decline since 2016.

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