This archive report was first published on 11 June 2020.
On June 11, 2020, the Kenyan government announced a series of measures to boost the economy and protect livelihoods amidst the COVID-19 pandemic.
Speaking during the presentation of the 2020/2021 budget statement, National Treasury Cabinet Secretary Ukur Yatani outlined nine key steps to address perennial challenges such as high poverty and unemployment rates, frequent droughts, and low agricultural and industrial productivity.
One of the key initiatives is the Sh53.7 billion Economic Stimulus Programme launched by President Uhuru Kenyatta earlier this month. The programme aims to stimulate economic activity, provide livelihoods to Kenyans, and enable businesses to recover from the adverse effects of the pandemic.
The government also plans to strengthen the management of public debt to minimize costs and risks while accessing external concessional funding to finance development projects. As of late April, Kenya's public debt stood at Sh6.28 trillion, according to data from the Treasury.
Additionally, the government will support the recovery and growth of Micro, Small and Medium Enterprises (MSMEs) through various interventions, including the operationalization of the Credit Guarantee Scheme. To promote local procurement, the government will gazette and enforce a list of items for local procurement, in line with the 'Buy Kenya Build Kenya' Initiative.
President Uhuru Kenyatta's signature Big Four projects have been earmarked as part of Kenya's recovery measures. The government will also enhance allocations to support the development of critical infrastructure, such as roads, rail, energy, and water, to reduce the cost of doing business and promote competitiveness.
Furthermore, the government will increase resources to support the youth, women, and persons with disabilities to enable them to actively contribute to the economic recovery agenda.
