# Eastern Africa economic growth 2025‑2026 > Live situation record from CLSTR: https://clstr.news/situations/eastern-africa-economic-growth-20252026 > Updated: 2026-07-29T09:39:58.000Z. Sources: 4. Developments: 2. The UN Economic Commission for Africa’s Office for Eastern Africa released a series of briefings in mid‑2026 outlining the region’s macro‑economic outlook. Both reports project that Eastern Africa will expand at roughly 5.8 % in 2026, well above the continent’s 4.0 % average and significantly faster than the 1.6 % expected for developed economies. Growth is being driven primarily by services – accounting for two‑thirds of Kenya’s output and 40‑45 % of Rwanda, Uganda and Tanzania – while construction also contributes to the upward trend. Rwanda stands out with a double‑digit expansion in several manufacturing subsectors, suggesting a tentative shift toward a more diversified economy. However, officials caution that fiscal constraints are tightening: interest‑payment burdens consumed 24 % of Kenya’s revenue, 21 % of Uganda’s, 13 % of Tanzania’s and 8 % of Rwanda’s in 2024. Inflation has eased to single‑digit levels in several states, yet debt levels remain high and the region remains vulnerable to external shocks such as disruptions to global trade routes. UN Resident Coordinator Fatmata Lovetta Sesay stressed that while the growth figures are impressive, they must translate into broader job creation and sustainable development. The reports call for policies that convert the robust expansion into inclusive economic transformation amid an increasingly uncertain international environment. ## Timeline ### 2026-07-29: Eastern Africa projects 5.8% growth in 2026 despite fiscal pressures UN ECA’s 2026 report shows Eastern Africa growing at 5.8% next year, led by services, with Rwanda’s manufacturing surging, but fiscal pressure from high interest payments threatens sustainable transformation. 2 sources. https://clstr.news/cluster/eastern-africa-projects-58-growth-in-2026-despite-fiscal-pressures ### 2026-07-26: 2026 Growth Outlook: Eastern Africa's 5.8% Rise and AI Exporters' Surge UN ECA projects Eastern Africa's 2026 growth at 5.8% despite fiscal pressures, while GlobalData notes a 3% global outlook split by AI hardware export strength and energy‑cost exposure. 2 sources. https://clstr.news/cluster/2026-growth-outlook-eastern-africas-58-rise-and-ai-exporters-surge --- Cite as: Eastern Africa economic growth 2025‑2026. CLSTR, https://clstr.news/situations/eastern-africa-economic-growth-20252026