Kenya’s Agriculture and Hospitality Sectors Sustain Hiring Momentum

Kenya’s agriculture and hospitality sectors are reporting increased hiring activity, even as most other industries reduce recruitment due to rising costs and delayed government payments.

Data from the Central Bank of Kenya (CBK) shows that these two sectors are among the few maintaining a positive employment outlook in 2025, according to the July Market Perceptions Survey. The survey, which covered 138 private firms outside the banking sector, found that 20 percent of agricultural companies plan to expand their workforce this year, up from 16 percent in May. 

In the hospitality sector, hiring optimism declined slightly, from 17 percent in May to 11 percent in July, but hotels remain the only other group expecting to increase staff numbers. The growth in agricultural employment is supported by improved output and strong export performance. 

Between January and May, coffee exports rose by 63 percent to 32,290 tonnes. Exports of flowers, fruits, and vegetables also increased, climbing from 99,325 tonnes to 138,193 tonnes. This growth is attributed to favourable weather, better market access, and improved logistics, allowing firms to expand operations and hire more workers.

In hospitality, the removal of visa requirements for international visitors has contributed to a rise in tourist arrivals. Government data shows 922,961 foreign visitors entered Kenya in the first five months of 2025, a 2.3 percent increase compared to the same period in 2024. This has led to higher hotel occupancy and expanded services, encouraging employers to retain or grow their staff despite economic pressures.

In contrast, some sectors are facing sharp declines in hiring plans. No transport firms surveyed reported plans to recruit in 2025, a significant drop from earlier in the year when three-quarters had intended to do so. The sector is facing challenges from rising operational costs, fiscal constraints, and the increasing use of automation, which is reducing demand for labour.

While agriculture and tourism benefit from favourable conditions and policy changes, other industries remain affected by financial constraints and regulatory challenges.