, inflation and lending rates. All data was obtained from the Central Bank of Kenya online repositories. The empirical assessment … effective in controlling and stabilizing prices especially inflation; two, expansionary fiscal policy is not only inflationary …

We develop a semi-structural new-Keynesian open-economy model, with separate food and non-food inflation dynamics, for …-relevant exercises. First, we filter international and Kenyan data (on output, inflation and its components, exchange rates and interest … inflation. Third, we perform an out-of-sample forecast to identify where the economy — and therefore policy — was likely headed …