Kenya's private sector activity contracted in March for the first time since August last year, as consumers cut spending due to high living costs and the Middle East conflict drove up prices.

• The Stanbic Bank Kenya Purchasing Managers’ Index (PMI) fell to 47.7, down from 50.4 in February, signaling a contraction.
• The decline was attributed by economist Christopher Legilisho to demand-side and supply-side concerns, including the war in the Middle East.
• Despite a sharp increase in input costs, businesses were largely unable to pass on higher prices to consumers due to weak demand and heightened competition, leading to reduced profit margins.