The Political Economy of Development in Kenya

Kenya is a country of geopolitical and economic importance in East Africa. It shares borders with unstable states such as Somalia and Sudan while being a hub for trade, communication, finance, and transportation across the region. Although relatively stable since its independence in 1963, the country still faces poverty, inequality, and corruption. In addition, the contested election of 2007 led to severe ethnic strife that tested its political stability, leading to a new constitution in 2010.

List of Figures and TablesAbbreviations and AcronymsPreface 1. Economic Performance and Socio-Economic TrendsSector  Performance Population, Labor, and Employment Poverty/Inequality and HIV/AIDS External TradePublic FinanceSavings and InvestmentConclusions2. Urbanization and Urban GrowthUrbanization TrendsDrivers of UrbanizationConsequences of Rapid UrbanizationManaging Rapid UrbanizationConclusions3. The Informal EconomyThe Nature of Kenya's Informal Economy Benefits of the Informal Economy Some Disbenefits of the Informal EconomyConclusions4. Corruption and DevelopmentWhy Corruption Persists: CausesCorruption, Development and Governance: ConsequencesTackling the Corruption Epidemic: ControlTowards More Effective Control: Key Lessons and Recommendations Conclusions5. Decentralization and Local GovernanceLocal Government Structure in Kenya Kenya's Potential Benefits from Devolved GovernmentImplementing Decentralization/DevolutionConclusions6. Public Sector Management and ReformPublic Sector Reform and TransformationPerformance Contracting as a Performance Management ToolConclusions7. Sustaining Growth and Development: Some Aspects of PolicySavings Mobilization Private Enterprise-Led Growth and Industrialization Infrastructure Development Engaging the Youth: Empowerment, Education, and Employment State Capability, Good Governance, and the Rule of LawConclusions8. Bringing in the Future: Beyond 2012The Independent Electoral and Boundaries Commission The Justice SystemDevolutionParliamentConclusions