This archive report was first published on 27 August 2019.
Published on August 27, 2019, by Kennedy Chesoli, a renowned author, Kenya's economic growth is being threatened by poor governance, lack of consultations, and inefficient policies.
Kenya has always been a regional and continental powerhouse, but its standing among nations is declining. The country's economy remains vibrant and growing, but it's no longer the largest in the region. Ethiopia has taken the top spot, and Tanzania is projected to occupy the second position in the coming years.
Kenya's decline is attributed to the lack of consultations and expert opinions among politicians, governors, and senior government officials. This has led to development priorities at the county and national levels no longer following known economic models, rationale, principles, and strategies.
The country's port, Mombasa, is also facing challenges. The Tanzanian government is investing heavily in expanding its capacity, improving network linkages, and streamlining port operations in Dar-es-Salaam, which may challenge Mombasa's position as the gateway to Eastern Africa.
Kenya must respond accordingly and preserve Mombasa's domination. The country must dream big and elevate its port to the superior levels of Durban, Dubai, and the port of Djibouti.
However, some question the value of the port of Lamu and see it as counterproductive. The forced transfer of port operations inland may create serious challenges to the region, decimate jobs and livelihoods at the Coast, and complicate cargo movement.
Kenya must also reconsider its commitment to industrial development. The country's sugar industry was thriving a few years ago, employing millions as farmers, factory workers, and distributors. However, ill-informed public policy decisions, incompetent, and corrupt management ran mills into the ground.
Stakeholders point out that timely government intervention could have helped avert a shutdown in the Webuye-based Panafrican Paper Mills. However, after years of failed government promises and half-hearted efforts, the company folded, and its assets were auctioned off to a local investor who had no intention of reviving the mill.
It is imperative that Kenya pursues a more consistent public policy and practice. The country needs to return to the days when its socioeconomic development was guided by national values and economic rationale.
