The Central Bank of Kenya (CBK) has retained its benchmark interest rate at 8.75 percent as inflation remains within the government’s target range despite rising global economic risks. The Monetary Policy Committee (MPC) kept the Central Bank Rate (CBR) unchanged at 8.75 percent during its meeting on Tuesday, saying the current monetary policy stance remains appropriate. The decision comes after Kenya’s annual inflation rate rose slightly to 6.5 percent in July from 6.4 percent in June, largely driven by higher food prices. Global economic growth is expected to slow to 3 percent in 2026, down from 3.5 percent in 2025, according to the central bank. A stable policy rate could provide some predictability for businesses planning investments and households servicing loans, while allowing the CBK to retain room to respond to renewed inflationary pressures.