Kenya seen struggling with fiscal pressures as elections loom No ‘solid rebound’ expected in credit growth to private sector The World Bank cut its economic growth forecast for Kenya due to a slowdown in the expansion of loans to the private sector and a drought that may hurt output. Gross domestic product in East Africa’s largest economy will expand 5.5 percent this year, the Washington-based lender said in a report released Wednesday. This compares with an earlier forecast of 6 percent and estimated growth of 5.9 percent in 2016, the World Bank said. The world’s biggest exporter of black tea is experiencing drought and the Meteorological Department has warned that rains between March and May will be less than normal. While agriculture, which is dominated by flower-growing and fresh produce and accounts for about a quarter of Kenyan GDP, will be hit by the low rainfall, the drought will have a spillover effect on other parts of the economy, the World Bank said. “The drought will have knock-on effects on the rest of the economy through higher electricity prices, as…