Explain SIX measures that the Government of Kenya may take to control her persistent Balance of payment deficit.

      

Explain SIX measures that the Government of Kenya may take to control her persistent Balance
of
payment deficit.

  

Answers


gideon
- Increase the volume of export i.e. by giving incentives to traders so that they can produce more
output.
- Reduce the level of imports i.e. by using restrictive measures such as import total ban etc.
- By diversifying the rate of export of the country so that when some fail others can still sell in the
world
market.
- Through Devaluation of the country’s currency – this makes the export cheaper and hence more
competitivein the
market.
- By negotiating for foreign debt reduction- which will off load the debt burden.
- By adding value to the export e.g processing of primary products so as to fetch better prices
when exported.
gideon1 answered the question on October 2, 2017 at 17:10


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