This archive report was first published on 30 July 2019.
On July 30, 2019, the ICT Cabinet Secretary Joe Mucheru released the long-awaited Blockchain & AI report, a move welcomed by many as a step towards transparency and accountability in Kenya's public and private sectors.
The report, which was expected to be launched towards the end of 2018, highlights the potential of blockchain technology in transforming record-keeping systems in Kenya.
According to the report, blockchain is a new type of record-keeping system that is decentralized, meaning that control is not within a single entity but rather distributed across multiple entities.
This allows for a shared consensus between multiple parties, making it tamper-proof and immutable once an entry is recorded.
The report also delves into the use of Artificial Intelligence (AI), which has been around longer than blockchain but is growing faster due to the availability of big data and increased processing power.
AI is about training and equipping machines with experience (data) so that they can identify patterns that could then be used to predict or take action in future events.
The report recommends that the public sector record-keeping systems be redesigned to take advantage of blockchain properties such as immutability, transparency, and shared control.
This is particularly relevant in sectors such as land registry, medicine distribution, and insurance claims, where corruption has been a major pain-point for Kenyans.
The report also touches on the use of crypto-currencies, which are virtual money without centralized control and have shown to be highly volatile due to speculative users.
However, the report recommends the use of crypto-currencies from a more controlled and stable perspective, suggesting that Central Bank could upgrade its record-keeping system onto a blockchain that would exchange digital tokens with its retail banks.
Ultimately, the report calls on Kenyans to review and develop locally-focused blockchain solutions that could ensure that the country does not become a bystander in the emerging tech-space.
