Kenya ranks behind Tanzania in economic diversity in East Africa, as the nation continues to rely on raw material exports rather than manufactured goods, according to a 2025 African Union report. The country scores below the continental average in trade sophistication, limiting job creation and industrial development that could reduce poverty levels.
Tanzania leads the East African Community with a diversification score of 0.4457, while Kenya trails with a weaker manufacturing export performance compared to its import volumes. The regional bloc scores 0.3920 in diversification, compared with an African average of 0.4072, with raw materials accounting for roughly 68 percent of exports.
The report recommends strengthening regional...