challenges and way forward in the kenyan urban sector a variety of opinions on a variety of issues...

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July - December 2016 Issue No. 006

Magazine

» A call for change in tact, strategy and focus in Kenya’s infrastructure development

» Is Kenya’s quest to address right to access and adequate urban housing space with growing urbanization?

» Rising Urbanization and Economic Welfare in Kenya

Challenges and way forward in the Kenyan

Urban Sector

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StatuS on development

ii Institute of Economic Affairs | JULY- DECEMBER 2016

A WORD FROM THE CEO

Economists who have dedicated their time to understanding the growth of cities have determined that cities are a

path to economic growth. This is especially true because of the reality of globalization and in spite of the fact that there are ideologi-cal push backs to increasingly open societies. The Institute of Economic Affairs (IEA-Kenya) relies on the established scholarship by many researchers including Edward Glaeser who is the leading urban economists today. His schol-arship is vast and shows the undeniable link between cities and future growth. The endur-ing feature of cities is the diversity of economic activities that arise together with the innovation that arises to fix existing problems while creat-ing high value economic activity. Indeed, this scholar is correct that cities throughout history have been the hotbeds of innovation and high productivity.

Edward Glaser argues in his latest book Triumph of the City: How our greatest inven-tion makes us richer, smarter, greener, health-ier and happier, that it is the constellation of people and greater density that allows for the generation, exchange and testing of new ideas. African countries enter the 21st century as the leaders in the growth rates of urbanization with the main cities in Uganda, Kenya and Tanzania being among the 20 fastest growing urban areas. Thus it is critical for citizens and governments to realize that urban development policy is a strong part of overall economic and social development. In addition, the lit-erature in urban economics studies show that an expanded understanding of urbanization requires a greater appreciation that the urban area is about people and not about infrastruc-ture and complex construction. A profound finding is that a city that does not provide flowing water to its residents is unlikely to be successful. The available data reveals that water

provision is an area in which most of the urban formations in Kenya fall short, suggesting that we have the double-decker roads ought to fol-low water provision.

As Kenya seeks to attain and maintain high growth rates, it is essential to state that urban-ization is not about buildings and expensive construction but about facilitating people to innovate and mix ideas for their sustenance. In order to realize the dividend of urban growth, public funds ought to be consciously directed towards the most basic services where they will yield the largest benefit for citizens as opposed to prestige projects including some that are described in this publication.

There is a tendency to focus on the most distressful problems of urbanization on the African continent and these include failures of local governments including poor housing conditions, salient unemployment and inade-quate waste disposal. Throughout Africa, South America and South Asia, these conditions exist side by side with the fact that urban areas are still the most vibrant economies that you find in these countries. At the same time, the quest for city living still represents a signal by people that they prefer town and city life to the alterna-tives that may be available to them elsewhere.

This edition of the Policy magazine carries a variety of opinions on a variety of issues that may inform Kenya’s urbanization policy. These include infrastructure development and its role in linking industry and markets, the imperatives of housing policy, the demographic trends that influence urbanization and the intersection between social policy and urban welfare. I com-mend them to you as think pieces to inform policy discourse and public education with the undertaking that a research on these issues will be published under the IEA-Kenya’s policy research series. Getting urbanization right will be to get development right.

Why getting development right requires getting urbanization policy right

Kwame Owino Chief Executive Officer Institute of Economic Affairs

Strong urbanization that is supported by technically effective planning and economic management, ethical and accountable professionals and political leaderships were major game changers at time when urbanization threatened the core of economic and social survival in Western civilization.

- According to World Bank’s 2016 report titled “Kenya Urbanization Review”

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CEOKwame Owino

EDITOROscar OchiengSusan Mbalu

ART DIRECTORAnthony Namukana

CONTRIBUTORSChrispine OdourDr. Benson MulemiPrisca KamungiNoah WamalwaRaphael ObonyoHenry OgolaGithua Kihara Cosmas Tabuche

COMMUNICATIONSOscar OchiengNoah WamalwaSusan Mbalu

PHOTOSVisual Poetry

PRINTERMajestic Printing Works Ltd.

PUBLISHERInstitute of Economic Affairs (IEA)ACK Garden House, 5th Floor, Block D,1st Ngong Avenue, Upper Hill/Community,P.O.BOX 53989 00200,NAIROBI, KENYATel: (+254-20) 2717402, 2721262Fax: (+254-20) 2716231E-mail: [email protected]: http://www.ieakenya.or.ke

ContentsJuly - December 2016 | ISSUE No. 006

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The views and opinions expressed in the articles published in the Policy Magazine are the respective authors' own and do not necessarily reflect those of the Institute of Economic Affairs (IEA), which seeks to publish a diverse range of perspectives on any given issue. Authors are fully responsible for and legally liable for their work. The Institute of Economic Affairs assumes no responsibility or legal liability, express or implied, for the content of any work of the author. Every effort has been made to ensure the accuracy of all information contained in the magazine.

DISCLAIMER:

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Failure to manage urbanization by planning for it adequately is sure recipe for unmet dreams of prosperous economy and society

Cities are important drivers of development and poverty reduction in both urban and rural areas, as they concentrate much of the national economic activity, government, commerce and transportation, and provide crucial links with rural areas, between cities, and across international borders. However, rapid and unplanned urban expansion leads to rapid sprawl, deficiencies in water and energy supply, and in the disposal of waste, chronically congested roads and public transport, pollution and environmental degradation, together with unsustainable production and consumption patterns. In order to attain sustainable urbanization, the government must put in place proper planning mechanisms, require technically competent, responsive and accountable professionals charged with the management of cities and expansion as well as appropriate use of public funds directed towards basic services where they will yield the largest benefit for citizens.

A publication of the Institute of Economic Affairs

Kenya’s Economic Outlook

Towards sustainable urban areas in Kenya

Physical and social aspects of wellbeing in Kenya’s urban informal settlements: Health policy implications

Rising Urbanization and Economic Welfare in Kenya

Policy areas for leveraging urbanization in Kenya as “a driver” of development in coming years

Is Kenya’s quest to address right to access and adequate urban housing apace with growing urbanization?

A call for change in tact, strategy and focus in Kenya’s infrastructure development


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Number of Persons engaged in the Informal Sector, 2011 - 2015

Trends in Kenya Consumer Price Indices (Base period February 2009=100)

Use of Insecticide-Treated Nets by children and pregnant women

Comparison of wages for informal jobs in urban areas (2015)

The chart above provides a comparison of the number of people who are engaged in economic activities in the informal sector between rural and urban population in Kenya. As depicted in the chart above, more people in the rural areas than in the urban are engaged in the informal economic activities. In 2011 they comprised 67 per cent implying that rural population engaged in informal activities twice as much as the urban population. It is however, noticeable that the proportion is reducing in favour of the rural population, this is especially between more formal activities are spreading even in the rural areas. In 2015, out of all people who engaged in informal activities, 35% were from urban areas, representing 2 percentage points above the proportion in 2011.

The chart above shows distribution of children under 5years and pregnant women who use the insecticide-treated nets in both rural areas and urban areas.. An Insecticide-Treated Net (ITN) is a factory-treated net that does not require any further treatment, or a net that has been soaked with insecticide within the past 6 months. It is considered essential equipment in control of malaria which is most prevalent in children under 5 years and also amongst pregnant women. Usage of ITNs in urban areas for children under age five is 58.9 percent and it is 4.8 percentage points above the national average. In rural areas, 51.7 percent of children of the same age set sleep under the ITNs, this is below the national average by 2.4 percentage points. As regard the usage of ITNs by pregnant

women aged 15 to 49 years, in urban areas, approximately 51.1 percent of women sleep under the ITNs compared to 50.1 percent in rural areas.

Chart 9 above compares the gazette monthly basic minimum wages of various informal activities between the main three urban areas and the rest of the urban areas in Kenya. It depicts how far part a laborer earns in one urban area in relation to another urban area. It is evident that for all the informal jobs above, workers in Nairobi, Mombasa and Kisumu earn a high minimum wage compared to all other urban areas in Kenya. For instance, a general laborer, night watchman, miner, stone cutter, turn-boy waiter and cook, the minimum wages are twice in Nairobi, Mombasa and Kisumu above their counterparts in all other towns. The relative high wages in the three urban areas is one of the pulling factors for the surge in population in these urban areas especially for the youths. It is also worth mentioning that inflation levels also tend to be high in the main urban areas such Nairobi which reduces the purchasing power.

The real significance of a wage lies in the amount of goods or services that it can purchase or represent. The purchasing power is determined by the value of the currency which is influenced by the level of inflation. Inflation levels are tracked by Consumer Price Index (CPI) which is usually referenced to 100 at a particular base year. An increasing index means rising inflation and thus a reducing purchasing power for a given level of income. The CPI trends for lower income groups in Nairobi and the Rest of Urban areas in Kenya are the highest. This reveals high inflation level levels in these areas. By contrast, CPI trends for Upper and Middle income groups in Nairobi are the lowest, thus showing that these areas have relatively low levels of inflation in Kenya. Source: KNBS| Leading Economic Indicators

Source: KNBS: Economic Survey 2016

Source: Kenya Demographic Household Survey 2014

Source: KNBS: Economic Survey 2016

Growth of the urban population in Kenya (1990 & 2014)

Percentage delivered in a health facility

Household composition (2016)

Use of contraception by currently married women (15-49 years), 2014Differentials in fertility rates between urban and rural areas

Rural vs. urban population in Kenya (2000-2015)

The chart shows the Kenyan urban population in 1990 and 2014. It is evident that a high number of people have been migrating towards the urban areas in Kenya. From the year 1990 to 2014, there has been an increase by 7,377 (187%).

The chart above shows distribution of women in urban, rural and Kenya in general who delivered in a health facility according to 2014 National Survey. On average, 61.2 percent of women in Kenya deliver in a health facility. Urban areas have the highest proportion at 82 percent compared to rural areas (49.5 percent). Accessibility, awareness, affordability are some of the key factors influencing delivery of women in health facilities. There is a high disparity of rural and urban areas by 32.5 percentage points. This implies that urban based women easily access better delivery services than their rural counterparts.

The chart shows the percentage of people who live in rural areas compared to those who live in urban areas. It can be seen that whereas the proportion of the urban population is increasing, the rural population is decreasing over the same period. From the year 2000 to 2014,

the rural population has decreased from 80.11% in 2000 to 74.38% in 2014, a drop of 5.73 percentage points. The urban population on the other hand has increased from 19.89% in 2000 to 25.62% in 2014; also an increase of 5.73 percentage points.

While in chart two provided the proportion of rural population and urban population, the chart above shows average number of members in household in both rural and urban Kenya. It is shown that, considering all members in general, there is an average of 4.6 members of a household in rural areas compared to 3.4 members in urban areas, revealing that urban areas have an average of 1.2 less members of a household than urban areas and 0.8 less members than the national average. Population that are aged below 16 years has an average of 2.4 members of a household

in rural areas compared to 1.4 members in urban areas, revealing that urban areas have an average of 1 less member of a household than urban areas and 0.7 less members than the national average. On the other hand, in relation to income earners within a household, it is revealed that in each household there is an average of 1.3 members for rural, urban and total population in Kenya. This implies that there is at least one income earner out of 4.5 members of a household in rural settings, 3.6 members of a household in urban areas and 4.2 members of a household in Kenya.

High use of contraception is widely employed and is considered a valuable measure of success of family planning programmes. The contraceptive prevalence rate (CPR) is usually defined as the percentage of currently married women who are currently using a method of contraception. As revealed in the chart above, family planning programmes are high in urban areas compared to rural areas. Family planning by use of any contraceptive method is at 61.8 percent in urban areas compared to 55.5 percent in rural areas. Family planning by use of modern method is also high in urban areas with success levels at 56.9 percent compared to rural areas (50.9 percent). It is worth noting that the level of contraceptive usage is still low in both rural and urban Kenya.

Total Fertility Rate (TFR) refers to the average number of children that would be born per woman if all women lived to the end of their childbearing years. As per the chart above, total fertility rate in Kenya is 3.9 births per woman, meaning that on average, a Kenyan woman who is at the beginning of her childbearing years will give birth to about four children by the end of her reproductive period. The TFR in rural areas is 4.5 and is significantly higher than the rate in urban areas (3.1 births per woman). Relatively, lower fertility rates in urban areas are correlated with comparatively smaller household size in urban areas. Factors such as relatively higher income and high education levels explain these differentials.

Source: World Bank Source: World Bank

Source: The-2016-FinAccess-household-survey-report4.pdf

Source: Kenya Demographic

Household Survey 2014







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The Institute of Economic Affairs (IEA Kenya) is a Nairobi based think tank that seeks to promote plural and informed debate on current public policy issues. This issue reviews Kenya’s economic development progress

and has been made possible by International Development Research Centre (IDRC).

Dr. Benson A. MuleMi He’s a Senior Lecturer in the Department of Social Sciences at Catholic University of Eastern Africa. He is also a senior Research Fellow and Research Coordinator in the Directorate of Research, Innovation and Graduate Training. He holds a PhD degree in Social Sciences with a concentration in Medical Anthropology from the Amsterdam Institute for Social Science Research; Faculty of Social and Behavioural Sciences, University of Amsterdam, Netherlands.

rAphAel oBonyoA Public Policy Specialist from Duke University in the US, and the author of Conversations about Youth in Kenya. He is Board member of the Global Diplomatic Forum. In 2015 he was named one of the most inspirational youth in Africa. Prior to the award, he had been named a Global Young Diplomat, and one of the emerging world leaders by the German Marshall Fund of the United States. He is a Ford Foundation Fellow.

priscA KAMungi She is a lecturer at the Institute of Diplomacy and International Studies, University of Nairobi, and Senior Research and Monitoring Officer at South Consulting Africa Ltd. Her study and research focuses on governance and security, conflict analysis and humanitarianism. She has also carried out studies on transitional justice, the youth, political settlements.

giThuA KihArAHe is the Communications consultant at the Freight Logistics. He has published the quarterly magazine for the Federation of East Africa Freight Forwarders Association (FEAFFA) now in its 10th edition and The Transporter- quarterly magazines for the Kenya Transporters Association (KTA) doing its 25th edition. I have also worked as communication consultant for the Northern Corridor Transit and Transport Coordination Authority (NCTTCA), Kenya Maritime Authority (KMA) and East Africa Tea Trade Centre (EATTA).

cosMAs TABuche He is an Assistant Programme Officer in the Futures Programme at IEA-Kenya. He holds a Bachelor’s Degree in Social Sciences with a concentration on International Relations from Makerere University. His areas of interest include Decentralized Governance, Urbanization and Scenarios building.

henry ogolAProject Management and Human Rights Consultant. His areas of interest include Governance, Human Rights and Social Justice. He is an advocate for youth emancipation. He is the Co-convener of The Youth Congress.

chrispine oDuorChrispine Oduor is a political science graduate from the University of Nairobi with work experience in governance and democratization.

noAh WAMAlWAHe is a research assistant at IEA. His area of interest and expertise is economic research. His strengths are in policy analysis, data interpretation and visualization. This meshes well with his work under the regulations and competition program at the IEA Kenya. He has a degree in Bachelor of Arts Economics from Moi University.

Awareness of financial institutions (percent), 2016

Percentage of population with access to adequate water supply

Percentage of population with access to electricity in Kenya – (1990/2014)

Economic advancement of one group of economic agents over the other may be contributed by disparity in financial information. The chart above draws a comparison in terms of awareness of financial information between urban and rural areas. Public awareness on both National Social Security Fund (NSSF) and National Hospital Insurance Fund (NHIF) is the highest in the above financial institutions, recording above 78% level of awareness. Awareness of Nairobi Stock Exchange (NSE) is at 50% in urban areas while in rural areas, it is below 50% mark. Low level of awareness of the stock exchange especially in rural places is an indicator that a good number of rural dwellers do not actively participate in stock trading. The awareness of Credit Reference Bureau (CRB), Deposit Protection Fund (DPF), Policy Compensation Fund (PCF) and Alternative Dispute Resolution (ADR) is generally low (less than 50%) for both rural and urban settings.

Chart 4 above shows the percentage of the Kenyan population with access to adequate water supply. It is evident in the chart that over the years the percentage has been increasing. In 1990, only 43 percent of the Kenyan population had access to water supply. After a decade, the percentage grew to 52% an increase of 9 percentage points and in 2015 increased to 63%.; it has hence increased by 20 percentage points between 1990 and 2015.

The pie charts above show the percentage of Kenya’s population that has access to electricity. It is clear that despite the percentage being very small, it has been improving overtime.

In 1990, the percentage of people who had access to electricity was at 11% whereas in 2014, it is 23%. An increase of 12 percentage points over the 24-year period.

Source: KNBS & CBK | The-2016-FinAccess-household-survey-report4.

Source: The World Bank Source: The World Bank

Internet access in the past 4 weeks: rural vs urban (%), 2016

The expansion of mobile telephony and increase in computers and other internet enabled devices on per capita basis has enhanced accessibility to internet for many Kenyans. However, as depicted in the chart above, The 2016 Financial Access Household Survey Report shows that in the month of October 2015, 32.9% of the respondents in the urban areas had access to the internet while 67.1% didn’t. In comparison to the rural

areas, 9.4% of the respondents had access to the internet compared to 90.6% who didn’t. This revelation of general low internet accessibility by the both rural and urban population compares very low with the mobile ownership as illustrated in Chart 13, which implies two possibilities, that most mobile devices owned are not internet enabled or that the devices are simply not being utilized for internet accessibility.

Source: KNBS & CBK | The-2016-FinAccess-household-survey-report4

Mobile ownership: rural vs urban (%), 2016

Ownership of mobile devices has been an essential aspect in the modern society, not only for communication but also for facilitating of financial transactions, time management and access to information through the internet. To what extend do people living in urban areas own mobile phones and how does this compare with their rural counterparts? As shown in the chart above, 88.3% of urban dwellers own mobile devices compared to 71.3% for the rural dwellers.

Source: KNBS & CBK | The-2016-FinAccess-household-survey-report4


1990 2014

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SUSTAINABLE URBANIZATION

However, on the downward side, rapid urbanization presents a challenge to human security and sustainable devel-opment. Urbanization has negative envi-ronmental outcomes as witnessed in the depletion and pollution of water resources, land degradation, climate change, and increased vulnerability to natural disasters.

Urbanization in Kenya presents the Country with the opportunity for accel-erating national development, specifically for the forty-seven County Governments, and the foundation of a sustainable urban future. The dynamism which urban areas in Kenya are exhibiting today with respect to a higher contribution in the value creation chain, increasing productivity, optimization of infrastructural investment, provides an important lever for change. As Governments at both levels: National and devolved experience population growth, steering the growth process through urban planning should be a priority. There is also need to make urban areas more habitable, and increasing the productivity of the country’s urban areas through expansion of access to basic services. Population increase in Kenya’s urban areas is a pow-erful asset for the country’s overall trans-formation. The full potential will however only be attained when and if government at both levels properly plan and adequately service the urban areas.

Although urbanization has the poten-tial to make people more prosperous, most African cities have found themselves gross-ly unprepared in the face of demographic, social, environmental and economic chal-lenges associated with urbanization. Urban areas in Kenya are likely to experience faster growth under devolved governance, therefore policy makers and decision mak-ers at both levels of government have to work towards ensuring that policies devel-oped meet the needs of current and future inhabitants of the country’s urban areas.

Kenya has witnessed rapid rate of urbanisation since independence in 1963. Urbanization in Kenya is as a result of con-centration of large-scale and small-scale industrial and commercial, financial and

administrative set up in the urban areas in the various parts of the country. It is also accompanied by the changing tech-nological development in transport and communication and recreational activities. Kenya’s rapid urban growth has however been accompanied by the deterioration of institutional and physical infrastructure. This has resulted in urban areas that are characterized with expansive informal set-tlements, poor water and sanitation infra-structure and services.

The Urban Areas and Cities Act enact-ed in 2011 provides for the, classification,

governance and management of urban areas and cities in Kenya, the criteria of establishing urban areas, the principle of governance and participation of residents. Some of the requirements for an area to be classified as a city include: a popula-tion of at least 250,000 residents accord-ing to the final gazetted results of the last population census carried out by an institution authorized under any written law; availability of an integrated urban area or city development plan; demonstrable capacity to generate sufficient revenue to sustain its operation; capacity to effectively and efficiently deliver essential services to its residents; availability of infrastructural facilities, including but not limited to roads and street lighting, and an adequate capac-ity for disaster management; and capacity for functional and effective waste disposal.

There has been a rise in population reported in most urban areas, as shown in Figure 1. Below. Nairobi, Eldoret and Mombasa recorded a steady rise in their population with a 46%, 51% and 38% respectively. Most cities and urban areas experienced a steady rise in population apart from Bungoma and Machakos which had a relatively low increase of their popu-lation at 5% each.Towards sustainable

urban areas in Kenya Urbanization is a process of social change that results in an increase in the proportion of a population

living in urban areas. Urban biased devel-opment strategies have been identified as one of the causes of rural-urban migration. Urbanization leads to economies of scale in the provision of basic services and public goods including water, health, education and electricity. Industries in an urban setup benefit from concentration of suppliers and consumers and allow savings in commu-nication and transport costs. Urban areas serve as commercial, administrative, and growth centers and are generally places for production and consumption of goods and services. Urban areas provide big, differen-tiated labor markets and help to generate new ideas and accelerate the pace of devel-opment of technological innovation.

By Chrispine Oduor and Cosmas Tabuche

Although urbanization has the potential to make people more prosperous, most African cities have found themselves grossly unprepared in the face of demographic, social, environmental and economic challenges associated with urbanization

The United Nations Department for Economic and Social Affairs (UNDESA) projected that between 2011 and 2050; the world population is expected to increase by 2.3 billion from 7.0 billion to 9.3 billion. The population living in urban areas within the period was projected to gain 2.6 billion, passing from 3.6 billion in 2011 to 6.3 billion in 2050. Urban areas of the world are expected to absorb all the population growth expected over the next four decades while at the same time drawing in some of the rural population. The UN projects that by 2030, 6 out of 10 people will be urban dwellers. This urban sprawl can be seen in many cities around the world, and not only in developing regions. The quest for sustainable and coordinated urban development starts with national policies. UN observes that as of 2015, 142 countries had a national urban policy in place or under development.

Source; https://www.opendata.go.ke/Population/2009-Census-Vol-1-Table-3-Rural-

and-Urban-Populati/e7c7-w67t), (http://www.geohive.com/cntry/kenya.aspx)

population of urban Areas in Kenya


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growth rate of 13.3 % while Nairobi had a growth rate of 4.9%. This may for instance result from increase in investments by the private sector, increased employment at the county level and increase in demand for agricultural produce at the county level.

The United Nations Conference on Environment and Development (UNCED) in 1992 offered the well-accepted defini-tion that sustainable development requires growth while preserving the natural resourc-es for future generations which is also envisaged in the Sustainable Development Goals. Innovative cities have shown that it is possible to improve resource efficiency while decreasing harmful pollution and unnecessary waste, using a combination of planned high density and smart transit-oriented policies. They have been able to improve the quality of lives of their citizens, enhanced economic competitiveness and resilience, and improved fiscal capacity.

Achieving higher levels of sustain-able urban development requires clear policies, simple norms and basic principles,

and concerted efforts from stakeholders including public, private and social actors. Sustainable development requires mov-ing away from the idea that national development is to be achieved by external assistance. Focus should be on strategies, actions and plans that optimize endog-enous factors.

Kenya’s cities need to provide the right environment for production, creativity and amenities. The real challenge however is governance. Land policies are the main problem that needs to be addressed in the urban sector. There is need to ensure proper records and proper management of land assets in order to avoid sprawl. The government should come up with policies on land prices in urban areas that will guarantee that location is priced at economic value. The government can use property tax as a means of preventing vacant land and speculation.

Waste of energy and water sectors are common in most developing coun-tries with infrastructural investment rarely taking into account the cost of long-term pollution and environmental impact. Government at both levels: National and County should invest in accessibility and affordability choosing the least cost solu-tion depending on the size of the urban area and characteristic of its inhabitants. In Nairobi County, for instance, informal settlements such as Kibera, Mathare and Mukuru Kwa Njenga have sprung up as a result of individuals without access to resources to legally purchase land or rent houses. These areas are marred with inadequate water supply, sanitation and drainage, resulting to outbreak of diseases. There are also inadequate educational, health and social facilities. The govern-ment needs to put in place an effective policy and framework to improve this situ-ation for instance the National government programme of upgrading Kibera informal settlement and improving the social and health facilities in the informal settlement.

Nairobi city is increasingly grappling with the challenge of traffic congestion and pollution as more people use private

cars for commuting to work posing a seri-ous threat to city sustainability. There is need for tax, parking policies, transport ori-ented development and the development of a multi-mode transport modes to curb hours lost in congestion and medical costs associated with health problems related to congestion and pollution.

Urban planning, infrastructure and ser-vices are generally poor in Kenya due to lack of efficient implementation systems. In addition, very few urban centers have up to date physical development plans. For a long time, development of urban areas was guided by urban physical develop-ment plans, which were prepared in the 1960/70s, and very few of them have been revised to cope with rapid urban growth. Urban growth has occurred mainly out-side the planned areas leading to massive growth of slums and informal settlement in all urban centers. In Nairobi for instance, 60 per cent of the residents live in slum settlements, while the level of urban pover-ty in the country is estimated at 60 per cent.

Kenyan policy makers need to con-tinue prioritizing urbanization challeng-es and work towards harnessing urban areas and cities as drivers of development. Urbanization should be carried on with concurrent economic development and systematic urban planning in order to avoid urban poverty and chaotic physical expansion.

Urban planning should guide urban expansion and the associated infrastructure needs. To be efficient and useful, plan-ning should be flexible, participatory as envisioned in the Urban Areas and Cities Act 2011, and indicative. Urban reference maps should lay out major roads and city services, the areas for urban expansion, and the reserves for amenities. Planning should check sprawl, enhance densification, and prevent development in precarious envi-ronmental zone.

Water and sanitation could easily pass as the important basic infrastructure for urban development. The overall goal of the National Water Development Policy is to facilitate the provision of water in suf-

A town is eligible for the confer-ment of municipal status under the Urban Areas and Cities Act 2011 if the town: has a population of at least between 70,000 and 249,000 residents according to the final gazetted results of the last popula-tion census carried out by an institution authorized under any written law; if it has an integrated development plan in accor-dance; if it has the capacity to effectively and efficiently deliver essential services to its residents; if it has sufficient space for expansion; has infrastructural facilities, including but not limited to street lighting, markets and fire stations.

The Urban Areas and Cities Act vests the management of cities and munici-palities in Kenya in the county govern-ment. Every city and municipality is to operate within the framework of integrated development planning which shall be the basis for: the preparation of environmental management plans; provision of physical and social infrastructure and transporta-tion; preparation of annual strategic plans for a city or municipality; disaster pre-paredness and response; overall delivery of service including provision of water, electricity, health, telecommunications and solid waste management; and the prepara-tion of a geographic information system for a city or municipality.

Inadequate infrastructure and institu-tions may however reduce the positive impact of urban area density, while increas-ing the negative externalities such as con-gestion and pollution. The mushrooming of informal settlements is likely to pose challenges. Government and especially the devolved units in this scenario can take advantage of the challenge ahead and adopt policies that will yield positive out-comes of urbanization.

Urban areas contribute to a greener pathway for growth by the way they plan their space, organize their housing patterns, and plan their infrastructure. The national and county governments should envision urban explosion without the usual negative impact on the physical environment. They should use the opportunity of urbanization

for innovative and green growth. The development of sustainable urban

areas requires a long-term view of develop-ment. Policy makers and decision makers need to take into account the future impact of all current decisions taken. They need to stop focusing on immediate demands such as housing, traffic decongestion, garbage and refuse management and drainage sys-tems of the urban areas. Focus should be on policy actions that not only address cur-rent demands, but also focus on the future.

The expected pace and magnitude of urban development in Kenya partly boost-ed by devolution and growth of urban areas at the local level and well adapted policies is likely to help bring segments of the country’s rural population out of pov-erty, improve incomes and bring prosper-ity, for instance due to increased demand for agricultural productivity boosting rural agricultural economies. A comparison between urban areas with a high growth rate in Kenya indicates that between 1990 and 2006, Nakuru registered the highest

The expansive Kibera slums, the development of sustainable urban areas requires a long-term view of development.

Inadequate infrastructure and institutions may however reduce the positive impact of urban area density, while increasing the negative externalities such as congestion and pollution. The mushrooming of informal settlements is likely to pose challenges.


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ficient quantity and quality and within a reasonable distance to meet all competing users in a sustainable, rational and eco-nomic way. The quality of the water supply service has regularly deteriorated as a com-bination of insufficient investment for reha-bilitation and extension of the distribution systems and inadequate commercial and financial management. Intermittent water supply has become the rule and house-holds and businesses have to rely on costly substitutes, such as individuals’ boreholes, tankers and water vendors. The poor, mostly living in informal settlements, are the most affected by this situation

Only 30 per cent of the gazetted urban centers in Kenya have sewerage systems posing serious environmental and health challenges. Sewer systems suffer from con-stant breakages or leakages. A number of factories and enterprises are known to dis-charge effluents to mainstream rivers. This makes rivers, streams and dam water unsafe for domestic and livestock consumption. Management of solid wastes is a challenge

and human activities including construction of houses, particularly in water catchment areas have increasingly threatened forest cover resulting in reduced water levels.

Kenya should enhance policy reform and institutional strengthening with a view to emphasize that urbanization is a positive and transformative process and not only a transi-tional process. Such policies should acknowl-edge the power of urbanization to propel and guide economic growth. Governments at both levels should promote creative, pro-ductive and inclusive urban development. Such a policy is a good instrument for public and political awareness of the gains to be obtained from sustainable urban develop-ment.

Policy makers should promote urban areas and cities that optimize demographic and economic densities, privileges proximity among firms and people with a dominantly mixed land-use pattern. They need to cre-ate conditions to promote cities that are socially diverse. Promote sustainable settle-ment planning through a more efficient and equitable use of resources, including basic services, facilities and infrastructure. Well-planned and organized densification can support the use of public transport, cycling and walking, thereby reducing air pollution and related diseases.

Both levels of government and govern-ment agencies should enhance collaboration and coordination: Creating conditions to achieve more sustainable urban development requires that different levels of government learn to work together. This is not only a technical and administrative exercise; it is also a political process that results from a politi-cal commitment. The multiplicity of entities that are responsible for policy development, programme execution, and front-end service delivery requires a high degree of collabora-tion and coordination to obtain optimum results on the ground. There is a broad range of sectors involved in urban planning and service delivery. There are multiple admin-istrative levels, numerous activities to be undertaken, as well as different spheres in which responsible actors are located. There is need to develop, consolidate and refine

and, that will contribute to environ-mental sustainability. The design of urban expansion and slum upgrading programmes based on minimal yet meaningful conditions to make them sustainable is critical. Such interven-tions are essential to protect poor and vulnerable locations from various risks such as floods and landslides.

There is need to develop knowl-edge on urban development and this requires a multi-sectoral approach touching on a variety of interlock-ing, technical, economic, social, and environmental issues. A good under-standing of the various dimensions will require dedicated analytical work, including relevant and updated sta-tistics, to be undertaken by national, county organizations.

The envisioned urbanization in Kenya underlines a qualitative dynam-ic. If, however, this opportunity is not captured by forward-looking policy-makers and massive popular mobili-zation to jointly pursue radically new policy approaches to developing and managing the country’s urban areas.

effective mechanisms for fostering closer collaboration and coordina-tion among public institutions, first, among Ministries, Departments and Agencies and secondly across admin-istrative levels. High level strategic tools such as national visions, annual and long term plans and budgets; special programmes should be used to foster coordination at the national level.

Policy makers and administrators of urban areas need to transform planning and basic services to fos-ter inclusiveness, sustainability and prosperity. Urban investments should consider the needs and interests of all social groups with particular attention to the wellbeing of the urban poor and particularly their ability to access basic services.

The government should develop housing policies that will address access to affordable housing. There is need for broad housing reforms and a new generation of housing and land policies that are more inclusive, rights-based, and financially creative

Urban planning should guide urban expansion and the associated infrastructure needs. To be efficient and useful, planning should be flexible, participatory as envisioned in the Urban Areas and Cities Act 2011, and indicative

A family having a good time at Uhuru Park while celebrating the Good Friday holiday on March 25, 2016.

People living in informal settlements have poor or no water supply services resulting in high incidence of diseases

References:Omoakin Jelil. Urbanization and Future of Cities in Africa: The Emerging Facts and Challenges to Planners

Margaret N. Ngayu. Sustainable Urban Communities: Challenges and Opportunities in Kenya’s Urban Sector. Centre for Promoting Ideas, USA

Sheila M, Tamsin R, Julian W. 2001. Sustainable Urban Livelihoods.

Government of Kenya. 2011. Urban Areas and Cities Act 2011. Government Printers. Nairobi

United Nations Economic Commission for Africa. 2010. Contribution to the 2014 UN ECOSOC Integration Segment

Jérôme Chenal. Capitalizing on Urbanization: the Importance of Planning, Infrastructure, and Finance for Africa’s Growing Cities

Dennis M, Elizabeth W, Baraka M, Romanus O. Urbanisation, Informality and Housing Challenge in Nairobi: A Case of Urban Governance Failure? Paper presented at the RC21 International Conference on “The Ideal City: between myth and reality. Representations, policies, contradictions and challenges for tomorrow's urban life” Urbino (Italy) 27-29 August 2015.

Jasper Edward Nyaura. 2014. Urbanization Process in Kenya: The Effects and Consequences in the 21st Century

Kenya Bureau of Statistics, The 2009 Kenya Population and Housing Census “Counting Our People for the Implementation of Vision 2030

Kenya Bureau of Statistics, 1999 Population and Housing Census “Counting Our People for Development”

http://www.geohive.com/cntry/kenya.aspx. Accessed on 11/11/2016

https://www.opendata.go.ke/Population/2009-Census-Vol-1-Table-3-Rural-and-Urban-Populati/e7c7-w67t/1. Accessed on 11/11/2016.

UN Habitat, 2010. State of the World’s Cities 2010/2011- Cities for All: Bridging the Urban Divide


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URBAN HEALTH PERSPECTIVES

of sound public health and urban plan-ning policies. Over the last few decades, Kenya’s urban health policy has focused on improving access to health, reducing mor-tality, promoting urban planning for safety and healthy behaviour, improving urban

living conditions, enhancing inclusion and participatory urban governance,

and building resilience to disasters and other emergencies.

This article explores how inequalities and lack of infra-structure interact in shaping

wellbeing in Kenyan cities and urban areas and the implications

of this reality for public health policy in the context of increasing rural-urban

migration. The central proposition is that social and physical determinants of health in Kenyan urban environments affect the quality of life and societal wellbeing among residents in informal settlements faced with livelihood vulnerability and insecurity.

Context of urban health and wellbeing

The poor status of health care in infor-mal settlements reflects the wider con-text of inequalities in Kenya. Perennial regional health care inequalities manifest in imbalances in the distribution of health

care resources, medical and support staff (Nyanjom 2006). While the distribution of privi-leges urban areas compared to rural areas, inequalities in access to health services and facilities abound in the urban areas too (WHO, 2010). In Nairobi’s informal settle-ments, poor living conditions characterised by inadequate housing and land tenure insecurity prevent planning for healthy living (Merkel and Otai 2007). The situ-ation of deteriorating eco-nomic and health condi-tions in Nairobi contradicts the perceived splendour of the first growing city.

By Benson A. Mulemi and Prisca M. Kamungi

The living and working conditions of people living in cities and urban areas in Kenya affect their health and overall wellbeing

in diverse ways. Reports by academics, WHO and UN Habitat show that urbanization has outpaced the ability of governments to build essential infrastructure that make life in cities safe, rewarding, and healthy(WHO 2010; DfID 2014, Mulemi 2010). Unhealthy lifestyles such as ‘con-venient’ diets, sedentary life and substance abuse increase lifestyle diseases. Lack of clean water and sanitation expose inhabitants to a wide range of pathogens, while overcrowding increases stress, violence, drug abuse and other social problems (WHO 1999).

Urban areas exhibit high levels of inequality. Whereas planned areas have healthcare infrastruc-ture, urban informal settlements lack the most basic essential care for various reasons. Health surveys that use rural-urban comparison paint a better picture for urban dwellers, but people liv-ing in informal settlements fair badly compared to the rich in terms of health outcomes, health

systems and services and living conditions. A majority of Kenya’s urban population is poor and live in informal settlements which post the highest statistics of morbidity and mortality. Lack of services and poor waste management contribute to disease outbreaks, environmental pollution and disasters such as fires and flooding. Extreme poverty and poor living conditions exacerbate the spread of infectious diseases including Tuberculosis and HIV Aids. Health care costs push the urban poor further into poverty.

The high prevalence of communicable and non-communicable diseases in informal settle-ments belies current policy initiatives to create healthy environments, equitable health systems and resolution of local governance issues affect-ing access to healthcare. The prospects for improvement of wellbeing of urban dwellers depend on the formulation and implementation

The status of urban wellbeing is often understood from the holistic conceptualisation of health as "a state of complete physical, mental, and social well-being and not merely the absence of disease or infirmity (WHO 2006).

Physical and social aspects of wellbeing in Kenya’s urban informal settlements: Health policy implications

lack of clean

water and sanitation expose inhabitants to a

wide range of pathogens, while overcrowding increases

stress, violence, drug abuse and other social

problems (Who 1999).

unhealthy lifestyles such as ‘convenient’

diets, sedentary life and substance abuse

increase lifestyle diseases


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Kenya is experiencing rapid urbanisation that is now typical in sub-Saharan Africa due to increasing rural urban migration (Candiracci and Syrjänen, 2007). This process occurs in a context of slow economic growth; hence the increasing numbers of urban dwell-ers find little cushion against livelihood shocks and insecurity. Most of the rural poor migrate to urban areas in search of a better life but end up living in infor-mal settlements without basic services. Informal settlements are characterized by high unemployment rates, poor provi-sion of public services including health, education, housing and security (Fotso, Ezeh and Oronje2008). People with low education living in urban areas are twice as likely to be unemployed compared to their rural counterparts (DFID, 2014). The capacity of government and local authorities to guide the physical growth of urban areas and to provide essential services to the inhabitants is outstripped by the increasing population (Candiracci and Syrjänen, 2007).

The quest for urban health and well-being in Kenya occurs within the con-temporary setting of pluralistic medical systems and multiple health providers. The pluralistic urban health care ser-vices include; under-resourced govern-ment facilities; private for-profit, informal, and diverse Non-Governmental (NGO) providers. The services are provided with little or no government coordination of the public health system. This results in duplication of and deficiencies in health care interventions, and unmitigated social barriers to universal access to quality healthcare service.

Urban areas are characterised by unique social and physical aspects which interact and affect people’s wellbeing in varied ways. The social and physi-cal characteristics of urban areas have significant mutual consequences on health and wellbeing, yet this is insuf-ficiently addressed in the discourse on improvement of affected people’s living conditions. Health system and resource

decision-making power on planning, human resource management and resource allocation from national to county governments trigger squabbles between the two levels of government, which present delays and impediments to effective delivery of and equitable healthcare services to citizens in poor areas.

Social and physical perspectives

The recognition of how social factors constitute a major health threat in devel-oping countries has been slow compared to the attention accorded this aspect in developed countries (World Resources Institute, 1996). The social determinants of health are increasingly interacting with physical risks in accounting for increasing morbidity and mortality in Kenya’s urban areas. For instance, the socio-economic status shapes urban

contribute to social stress of some groups. Contemporary rural-urban migration trends have negative consequences for wellbeing when urban populations experience stress, alienation or disenfranchise-ment and feelings of livelihood insecurity attributed to their differ-entiating socioeconomic and cul-tural attributes (World Resources Institute, 1996). Socio-economic exclusion and attendant destitu-tion, manifested in daily lives in urban informal settlements have wellbeing ramifications, often manifested in negative behavioural traits such as smoking or alcohol or substance abuse and commercial sex work. There is mutual interac-tion between urban social environ-ment and the physical conditions with varied health consequences for individuals and entire com-munities. This is further related to political and economic structures that determine the distribution of and access to physical, biological, and social means for health and quality living conditions.

Lived experiences of urban health and wellbeing

High rates of urban poverty across Kenya shape the lived experience of morbidity and pursuits for wellbe-ing in major cities and urban areas. The dire urban poverty in Kenya

is characterized by high average rates of poverty: 63% in Nyanza, 64% in North Eastern; 68% in Western, 51% in Eastern, 47 % in Coast, 54% in Rift Valley and 44% in Nairobi regions (DFID 2014). This shapes the social and physical dimensions of wellbeing and health in emerging urban areas, established cities and metropolitan regions. Access to health care among residents of poor neighbourhoods is influenced by the cost of treatment and the manner of health care deliv-ery. The urban poor in Kenya are vul-nerable to catastrophic health expen-diture and are likely to forego health care since it is unaffordable (Buigut, Ettarh and Amendah 2015). These aspects interact with psychological and physical determinants of health care. Although urban dwellers may perceive the hospital as better placed to deal with health issues, consulta-tion fees and the cost of medicines negate their motivation to go to the hospital. Therefore, many urban poor resort to unregulated use of over-the-counter drugs and Complementary and Alternative Medicines (Mulemi 2010). Although numerous health facilities exist in urban environments run by private entities and Non-Governmental Organisations, reli-ance on cheap over-the-counter drugs and concoctions sold by herbalists may have negative consequences for health.

Informal settlements are also characterised by absence of or non-functional sewer lines and drainage systems, which define the settlements as filthy liquid and solid waste quag-mires, particularly during the rainy seasons. Recent initiatives to improve Kibera slums in Nairobi-- the largest slum in Africa-including construc-tion of communal toilets, bathrooms and upgrading of health facilities and other social amenities have not mate-rialised in other informal settlements in Kenya. Casual labourers and

A nurse is giving first pneumococcal vaccine shot to a child in Nairobi, a government sponsored initiative.

Left: Patients wait to be attended by hospital workers on March 9, 2012 at Mbagathi Hospital in Nairobi.

The social and physical characteristics of urban areas have significant mutual consequences on health and wellbeing, yet this is insufficiently addressed in the discourse on improvement of affected people’s living conditions

allocation inequities are more visible in urban areas (Harpham and Molyneux, 2001). Inadequate financing interacts with social, infrastructural and environ-mental aspects of cities and urban areas to shape access to quality and afford-able health services, clean water and sanitation, access to food and adequate housing.

Since the transition to a devolved governance structure following the 2013 general elections, responsibilities for essential health service provision have been transferred from the national to County Governments, while the national government retains technical assistance, financing, health policy, management of national referral hospitals, quality assurance and M&E, health ICT and control of ‘major’ diseases (KPMG 2013). However, lack of clarity over procure-ment processes, transfer of funds and

wellbeing due to differential access to essential amenities. For instance, measures to improve sanitation, running water and housing are linked to broader measures to make informal settlements habit-able, healthier and secure. Urban poverty, insecurity and livelihood conditions limit access to amenities that reinforce wellbeing. However, the government has taken mea-sures to provide free services to the urban poor, particularly those aimed at reducing child illness and mortality – for instance through immunization; improving access to reproductive health services includ-ing contraceptives, sanitary towels and maternity care, and access to affordable medicine.

Cultural, ethnic and economic diversity also shape urban health and wellbeing when these factors

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Conclusion and Policy implications

Kenya is experiencing rapid urbanization of up to 4.6% per annum due to high rural-urban migration, resulting in a growth of informal settlements. Projections suggests that urban-ization is likely to increase and put more pressure on social amenities such as housing, safe drinking water, waste disposal and access to health services. Congestion and poverty create conditions for communicable and non-communicable diseases, while the high cost of living make healthcare unaffordable to most people, who resort to over-the-counter drugs and concoctions sold by herbalists. Although a large proportion of the urban population lives in informal settlements, urban health is not given priority in health planning. While most health facilities are found in urban areas, they remain inaccessible to the poor living in informal settlements due to cost, insecurity or lack of information. This results in inequalities in access to healthcare and gives impetus for private practitioners, NGOs and other service providers who enter the scene to fill the gaps. This has implications for policy and administra-tion of health care administration, coordination and quality of service.

The government of Kenya has taken a number of measures to improve health care service provision through financing, devolution of health function and improving inter-sectoral collaboration in public health care. Though urban health is subsumed under the broad heath policy, the government has taken mea-sures to reduce the financial burden through coordination and oversight of private practice, non-governmental organisations and other health providers. The government’s strategies and policy measures to increase and reha-bilitate public health facilities in urban areas are stifled by the persistence of socio-economic inequalities. The politics of devolution of health points to the need to pay more attention to the historically neglected and discriminated ‘low potential areas’ (Murkomen, 2012), includ-ing informal settlements and particular health conditions. Concerted effort is imperative to enhance efficiency in the delivery of health services and address the concerns of low qual-ity health care among rural and urban poor.

The poor conditions of daily life are often evident in high-density, filthy central-city dwellings to unplanned informal squatter settlements on city outskirts

Rescure works clearing the rubble of a collapsed building in Nairobi's Huruma Estate

self-employed inhabitants supple-ment livelihoods with activities such as selling foods and drinks in unhygienic environments. This aggravates the sus-ceptibility of urban residents to envi-ronmentally induced diseases, infections and illnesses. The experience is further shaped by micro- and macro-medical ecology of wellbeing in Kenyan informal urban tenements. The former entails the social and physical environment while the later encompasses the economic and political healthcare organisation circum-stances that embody aspects of an unre-sponsive health system. The experience of morbidity among the urban poor in Kenya is worsened by the fact that slum and low-income neighbourhoods have under-resourced health facilities with perennial dearth of essential drugs and supplies (Essendi, Mills and Fotso, 2010; Fotso and Mukiira, 2011; Izugbara, Kabiruand Zulu 2009).

Unplanned and inadequately planned urban housing structures in Kenya have often resulted in negative consequences for residents’ wellbeing. Low quality houses with inadequate ven-tilation and poor finishing has led to accidents and the frequent fatal collapse

the houses available leading to congested households in both middle income and the poor neighbourhoods.

Diseases and illnesses associated with urbanism typify the social aspects or urban health. City life entails the inter-action of people in the built environment and this shape wellbeing as social phe-nomena. Social interaction and behav-iour that characterise urban lifestyles enhance health through circumstances that promote wellbeing, yet some behav-iour compromise health. Sexually active urban residents, especially in major informal settlements are susceptible to HIV/AIDS and other sexually transmitted infections. Informants in Nairobi’s Kibera slum often recognise that a significant proportion of youth and adults in the prime of their lives may be infected with HIV (Madise et al 2008). The health risks such as the spread of communicable diseases may be attributed to conges-tion and abject poverty, which interact with other physical as well as biological disease and illness predisposing factors. This extends to social norms and attitude as well as cultural and household aspects that mediate urban health (Ompad and Fuller, 2005).

of buildings witnessed in Nairobi’s infor-mal settlements in the past two decades. Collapsing residential and commercial structures, which are vulnerability to natu-ral or human-made disasters, are germane to the growing anxiety about features of the urban physical environment that relate to human health and wellbeing (Galea and David, 2005:7). The state of urban structures in these areas embodies the stark reality of neglect of some parts of cities where quality housing and liv-ing conditions are ominously deficient. The poor conditions of daily life are often evident in high-density, filthy central-city dwellings to unplanned informal squatter settlements on city outskirts. Similarly, the increase of rural-urban migration outstrips

Buigut, S., Ettarh, R. and Amendah, D. D.(2015).Catastrophic health expenditure and its determinants in Kenya slum communities, International Journal for Equity in Health, 14:46 DOI 10.1186/s12939-015-0168-9

Candiracci S, Syrjänen R. (2007). UN-HABITAT and the Kenya Slum Upgrading

Programme. Nairobi: United Nations Human Settlements Programme (UN-HABITAT).

DFID (2014). What Do We Know About the Kenyan Poor and Their Use of the Private

Health Sector? A synthesis of the literature, accessed on June 23, 2016 from:http://www.psp4h.com/wp-content/uploads/2014/05/The-Kenyan-Poor-and-Their-Use-of-the-Private-Health-Sector-PSP4H-February-2014-1.1.0.pdf

Essendi H, Mills S, and FotsoJC. (2010). Barriers to Formal Emergency Obstetric Care

Services’ Utilization.Journal of Urban Health 88 (2):S356-S369.

FotsoJ. C, and Mukiira C. 2011. Perceived quality of and access to care among poor urban

women in Kenya and their utilization of delivery care: harnessing the potential of private clinics? Health Policy and Planning, 27 (6):505-15.

FotsoJC, Ezeh A, Oronje R (2008). Provision and use of maternal health services among

urban poor women in Kenya: what do we know and what can we do? Journal of Urban Health 85: 428–442

Galea, S and Vlahov, D. (2005). Urban Health: Populations, Methods, and Practice,In

Galea, S and Vlahov, D (eds).Handbook of Urban Health Populations, Methods, and Practice, New York: Springer Science+ Business Media, Inc. P.1-15

Harpham, T. and Molyneux C. (2001). Urban health in developing countries: a review,

Progress in Development Studies, 1(2) 113-137

Izugbara CO, KabiruC. W, and Zulu E. M. (2009). Urban Poor Kenyan Women and

Hospital-Based Delivery. Public Health Reports 124 (4):585-589.

Madise, Nyovani J., et al. "Are slum dwellers at heightened risk of HIV infection than other urban residents? Evidence from population-based HIV prevalence surveys in Kenya." Health & place 18.5 (2012): 1144-1152.

Merkel S, Otai J.( 2007) Meeting the health needs of the urban poor in African informal

settlements: bestpractices and lessons learned. Nairobi, Jhpiego, 2007 http://www.jhpiego.jhu.edu/resources/pubs/UrbanSlums/UrbanSlums_Meeting_Health_Needs.pdf, accessed 4August 2016).

Mulemi, B. A. (2010). Coping with cancer and adversity: Hospital ethnography in Kenya. African Studies Centre

Murkomen O. K.( 2012), Devolution and the Health System in Kenya’ USAID, Health Policy Project 26-50.

Nyanjom O (2006) Inequality in Kenya’s Health Sector, in Kanyinga, K.(ed). Readings on Inequality in Kenya: Sectoral Dynamics and Perspectives. Nairobi: Society for international Development, Pg. 98-155

Ompad, D and Fuller, C. (2005). The Urban Environment, Drug Use, and Health, InGalea, S AndVlahov, D (eds). Handbook of Urban Health Populations, Methods, and Practice, New York: Springer Science+ Business Media, Inc. Pg.127-154

WHO (2006). Constitution of the World Health Organization, (Basic Documents, Forty-fifth

edition, Supplement, October 2006. Geneva: WHO

WHO (1999), Environmental Health Indicators: Framework and Methodologies. Geneva:

WHO, available at http://www.who.int/docstore/peh/archives/EHIndicators.pdf

WHO and UN-HABITAT (2010). Hidden Cities: Unmasking and Overcoming Health

Inequities in Urban Settings, Geneva; WHO

World Resources Institute (1996).World Resources: The UrbanEnvironment, 1996-97

World Bank (2006). Kenya inside Informality: Poverty, Jobs, Housing and Services in Nairobi’s Slum. Washington D.C: Water and Urban Unit 1, AfricaRegion.

References:


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URBANIZATION & ECONOMICS

Rising Urbanization and Economic Welfare in KenyaAccording to United Nations Population Fund , there exist a link between urbanization and modernization, industrialization, and rationalization idealism of choice making. As people from all walks of life move to the cities, they bring with them new cultures making cities acquire cosmopolitan status. Varied cultures mean varied tastes and preferences and subsequently diversified consumption patterns which attract increased investment.

Urbanization, as part of modernization has ushered in a new era of well-being, resource efficiency and eco-

nomic growth. UNFPA , finds a powerful link between urbanization and economic growth. It is observed that around the world, towns and cities are contributing over 80 per cent of gross national product. Industrial expansion, too, has been phenomenal. As people leave farmlands to live in the cities it has been like setting in a commercial flight. Commercial services in urban centres have increased sharply, due to enhanced demand for goods and services by the large populations. It has been upon this fertile ground that industrialization has flourished. Cities are witnessing increased production of not only food products but also textiles and housing.

Alongside wealthy populations with high standard of living, urban areas have also shown the opposite extreme of high inequality, this has been more pronounced especially among the slum dwellers. Extreme poverty, exclusion, vulnerability and marginal-ization are some of the social-economic ills that are increasingly being synony-mous with urban areas. One major factor causing the impoverishment is move-ment of many people including the

poor to urban areas. An article in the guard-ian newspaper titled, “2015 Challenges: Urbanization”, points out that increasing urban populations have had the effect of putting a strain on resources such as arable land thus leaving many on the fringes of society (The Guardian, 2015). Evidence of strain on resources are vivid; increased traf-fic, water pollution, solid waste, poor sanita-tion and poorly constructed buildings that do not have efficient designs among others.

Urbanization can thus be seen to be both a blessing and a curse implying that it brings both new opportunities as well as new challenges. Many individuals and firms hold the view that it is the sole responsibility of the government to improve the cities and that government will always act. However, most governments both at By Noah Wamalwa

national and local level are seen to be stuck—financially, politically, or both. The major concerns of the urban areas have thus been either neglected or addressed in a lackluster manner. This calls for more col-laboration between the government, private

investors and city dwellers in order to fully address the challenges that urban areas face.

According to World Bank, Kenyan population is largely rural, with an estimated 74 per

cent of the Kenyans living in rural places. However, urbaniza-

tion in Kenya is rapidly gaining momentum.

The chart above high-lights the trends in the

populations in the rural places and urban areas in Kenya. As per the chart, Kenyan population was 8.11 million in 1960, by 2015 it had reached 46.05 million and in 2050 it is projected by World Bank to reach 95.51 million. Urban population in 1960 comprised 7 percent of the total popula-tion, by 2015 the share had increased to 26 percent and it is projected that by 2050 it shall comprise 44 percent. Total popula-tion in 2015 is 6 times the population in 1960; rural population is 5 times while the urban population 20 times. From 2015 to 2050, it is estimated that total population will have doubled, urban population will more than triple while rural population will be 0.6 times more. The five-year-period population growth rates, as illustrated in the chart above it is shown that growth rates for urban population is relatively higher com-pared to the national average than in rural areas. From 1960 to 2050, the annual aver-age growth rate for the total population is 2.95 percent against 5.40 percent and 2.33 percent for urban and rural populations respectively. From the population growth it is evident that populations in the urban is growing and is expected to grow at a higher rate relative to rural areas, but are the Kenyan urban areas prepared for the surge in large population?

chart 1: projected population in urban and rural Areas in Kenya

Source: World Bank


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Cost of Living

As observed in the previous sec-tion, population in the urban areas is rising rapidly, but are people’s lives improving? A lower cost of liv-ing implies that individual’s ability to purchase basic commodities is high. From the supply and demand theories of economics, as population in the urban areas increase there is a tendency to exert pressure on the available resources due to increased demand for such goods and services such as water, housing and food. The rising demand should also be followed by supply in order to sat-isfy people’s needs otherwise poverty would replace prosperity.

Cost of living index is a tool that has often been used to measure the level of affordability of goods and services in relative terms against dif-ferent countries. Cost of living refers to the cost that is incurred by an individual in order to achieve a given standard of living. Cost of living index provides a relative measure of

The chart 2 provides an overview of the comparison of cost of living in selected African cities in 2016. The index is relative to New York City which has a reference index of 100. An index less than 100 indicates that the city is relatively less expensive. The indices in the chart reveal that most African cities are less expensive compared to New York.

However, among the sampled cities, Accra stands out as relatively expensive city with an index of 70.11, implying that it is 29.89 points less expensive compared to New York. Nairobi has an Index of 45.1 and it is less expensive compared to Dar-es-Salaam, Lagos and Addis Ababa. It is however observed that Nairobi is more expensive to live in com-pared to Cairo and Johannesburg. Africanranking.com lists Luanda, N’djamena, Victoria, Libreville, and Kinshasa as the top five most expen-sive cities in Africa.

In Kenya, Nairobi, the capital and largest city is often considered relatively expensive compared to other urban centres in the country and hence, in relative terms, the index can be used as a proxy mea-sure for other cities.

Consumer PricesThe Cost of Living Indices as revealed in Chart 2 show that Nairobi is not among the most expensive urban areas in the world. Cost of liv-ing in Nairobi can be considered as moderate. But how do urban consumer prices in Kenya compare with other areas within the coun-try? Chart 3 below, illustrates the trends of Consumer Price Index for Nairobi’s lower income group with households spending less than Ksh 23,670 in October 2005, Nairobi middle income group with house-holds spending between Ksh 23,671 to Ksh 119,999 in October 2005, Nairobi upper income group with

chart 2: cost of living index in selected African cities, 2016

households spending above Ksh 120,000 in October 2005 and the rest of urban areas.

The Consumer Price Index trend among Kenyans in the urban areas outside Nairobi and those falling in the Nairobi lower income areas are the highest and are rising at a relatively higher rate. The index in the urban areas outside Nairobi was 155.57 in January 2015 and rose to 169.62 in April 2016 this represents an increase of 13.95 points. On the other hand, the index for Nairobi lower income areas was 155.51 in January 2015 and increased to 170.86 in April 2016, representing an increase of 15.21 points. The CPI index for rest of Kenya rose from 153.43 to 167.07 over the same period, representing an increase of 13.64 points. This reveals that general prices of con-sumer prices for the Rest of Urban areas and Nairobi lower income group have generally increased at a higher rate compared to the national average. The increase implies that general prices levels have increased.

The CPI trend for Nairobi middle income group increased from 136.19 in January 2015 to 143.97 in April 2016, representing an increase of 7.78 points. While Nairobi upper income group increased from 136.19 to 143.97 in April 2016, over the same period, representing an increase of 8.75 points. It

is noticeable that increase in the CPIs for Nairobi lower income group is highest, followed by Rest of Urban areas, Rest of Kenya, Nairobi upper income group and the least is Nairobi middle income group.

The variance in the changes in the CPI’s is not only explained by differences in the purchasing power due to differences in the levels of incomes but also the consumption patterns of the different income groups. The CPI basket has the highest weight allocated

to Food and Non-Alcoholic Beverages at 36.03 in relation of all items included in the computation of the index. From 2014 to 2015, Food and Non-Alcoholic Beverages increased by a high margin of 11.4 percent against the weighted average for all items which increased by 6.6 percent in the same period. Food and Non-Alcoholic Beverages are the likely consumer goods that are driv-ing the prices for Nairobi Lower and the Rest of Urban areas.

Supply of consumer goodsThe prices for Nairobi lower income groups and the rest of urban areas have been observed to be increasing at a faster rate compared to the national average. Since urban areas rely on the marketed produc-tion for meeting their consumption require-ments, it is necessary to have measures that ensure adequate production of consumer goods and services especially food prod-ucts to cater for the rising demand. Though production is highly influenced by demand for goods and services, in instances when supply is scarce, prices not only tend to increase rapidly due to existence of many buyers chasing for fewer goods but also access of the commodity becomes a prob-lem. Chart 4 below present trends in the marketed production of maize, wheat, tea and coffee from 2011 to 2015.

chart 3: Trends in Kenya consumer price indices (Base period February 2009=100)

chart 4: Trends in the Marketed production of major agricultural produces

Vegetable vendors at Korogocho market in Nairobi.

Source: numbeo.com Source: KNBS| Leading Economic Indicators

Source: Calculated from KNBS| Economic Survey

cost of living whereby a higher index shows high cost of living whereas a lower index shows low cost of living. The purchasing power parity is also sometimes used as a measure of cost of living.


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The chart above shows the trend of the quantity of Maize and Wheat in kilogrammes per capita for the urban population in Kenya from 2011 to 2015. Quantity of marketed maize per person for the people living in urban areas is higher compared to wheat but is significantly reducing while quantity of wheat is ris-ing. In 2011 marketed maize was 40.9 kgs per capita and decreased to 25 kgs per capita in 2015 which represents 39 per-cent decrease. Conversely, wheat increased from 10.2 kgs to 19.3 kgs representing 90 percent increase. Though maize still retains its dominance as a staple food even in urban areas, its dominance is declining; wheat is seen to be rising faster. The lower income groups are especially vulnerable since scarcity may imply increase in the future prices. Though wheat is gaining momentum, its supply is still low, national policies on food security should therefore be revamped to enhance sustainable food security in urban areas.

Consumption levelsKenyan economy is largely driven by

consumption. Total domestic expenditure in 2015 was Ksh 7.2 trillion in nominal prices against the GDP level of Ksh 6.2 billion . On the other hand, Private final consumption as a share of GDP in 2015 accounts for 79 percent. The high con-sumption level is compelling the national government to borrow both externally and domestically. Total stock of debt as at end of 2014/15 stood at Ksh 2.6 trillion, of which external debt stock accounted for 54.7 per cent. In addition, the counties are also experiencing high consumption levels vis-à-vis revenue collected. In 2015/16, county governments overall budgeted expenditure is estimated at Ksh 361.1 bil-lion against an estimated revenue of Ksh 343.7 billion . Chart 5 below draws a cor-relation between consumption levels and poverty among the 47 counties in Kenya.

tionship by considering all the 47 counties.It is seen that Kiambu for instance, with

a relatively lower poverty level of 24.2% has a relatively higher consumption level of Ksh 48,077 per household, Nairobi with a relatively lower poverty rate of 21.8 rate. It is however noted that Nairobi, because of its peculiar characteristics such as rela-tively smaller household size of 3.19 and as revealed from the chart above, is an outlier. On the other hand, Turkana with a relatively higher poverty level of 87.5% has a relatively lower average consumption level of Ksh 26,161 per household monthly.

Counties with large cities like Nairobi, Kisumu, Mombasa and Uasin Gishu have relatively higher consumption levels, the average household in each county spends Ksh 62,529, Ksh 50,542, Ksh 54,640 and 44,254 respectively. Coincidentally, these counties are relatively less poor as indicated by the poverty indices in the chart above.

Consumption in relatively poor coun-

and Marginalization In Kenya”, even though Kenya developed and promul-gated a new Constitution in 2010, the country still suffers from traditional power imbalances between the male and female gender; resource distribution continues to entail a dark lining of inequality based on region, ethnicity, and class; infrastructural development continues to marginalize the already marginalized communities; and public service continues to exhibit gener-alised ethnic imbalances in favour of com-munities whose members have occupied the presidency(FES, 2012)

Reduced level of consumption has played a role in further marginalizing the poor regions in the country. Measures such as equalization funds and increas-ing funding of the counties ought to be supported with the main aim of reducing regional inequalities, by supporting local projects to ensure long term sustainable development.

Chart 6 above relates the consump-tion levels in the counties and the poverty levels. The aim is to examine existence of any correlation between consumption and poverty level in the counties. The average monthly expenditure by each household has been plotted against the poverty level of each county. The sizes of the house-holds vary; they tend to be smaller in urban areas compared to rural based counties. For instance, according to 2009 census Nairobi has an average of 3.19 members per household, Mombasa 3.5 while Wajir has 7.47 and Turkana on aver-age has 6.94 members per household.

It is revealed that consumption level in the counties is related with the poverty level. As poverty level reduces (indicated by reducing poverty indices), consump-tion tends to increase and vice versa. The general relationship is represented by the regression line cutting across the data points. The line weights the positions of the various counties to give a relative rela-

chart 5: consumption level in the counties verses poverty rates

Members of the WTO, through their ministers, meet every two years to discuss the progress made in the negotiations towards removal of impediments to trade and make decisions on all matters affecting the multilateral trading system of its members

ties is less because the households have relatively low income levels and leads to lower standard of living. Plausible reasons causing disparities in spending include marginalization. According to a report by Friedrich-Ebert-Stiftung, “Regional Disparities

Source: Calculated from Economic Survey 2015 and Statistical Abstract 2014

Shoppers at Uchumi supermarket in Nairobi, Kenyan economy is largely driven by consumption.


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source of income and minimal agriculture. Turkana is one of the poorest counties in Kenya, however, recent discovery of under-ground water and oil reserves are seen as opportunities for further development. Low absorption rates on development in these counties given the fact that they achieved the revenue targets implies that there exists efficiency in terms of revenue collection but lack of efficiency or prioritization of expenditure on development programmes. Given their status as poor counties as seen in chart 5, development expenditure ought to be stepped up in readiness to meeting the existing opportunities.

Homabay, Wajir, West Pokot, Kericho and Nyandarua counties fall in the first quadrant. Their collected revenue is above the target. They are also spending sig-nificantly large amounts on development – above 71 percent of the estimated expen-diture. This is favourable. Homabay is how-ever the only county in this quadrant that

gets, they have lower absorption rates.The classification of counties in the

chart above reveals that out of 47 counties, 5 fall in the first quadrant, 14 in the second, 25 in third and 3 in the fourth. It is also observed that absorption rates on develop-ment for all the counties are low with the weighted average being 62.4 percent. Only Homabay has the absorption rate above 100 percent. Majority of counties are oper-ating below the set targets when it comes to revenue collection, all the counties have a weighted average rate of 67.2 percent with only 8 counties surpassing the set target.

Counties with the largest urban centres, Nairobi, Nakuru, Kisumu and Mombasa are among the 25 counties falling in the third quadrant, they are not meeting their set targets on revenue and are also spend-ing less than the estimated expenditure on development. Efficiency measures should be enhanced to ensure that their revenue targets are attained. Inadequate revenue may have led to low absorption rates on development expenditure; however, more prioritization on development ought to be considered.

The absorption rates on development for Uasin Gishu and Kiambu counties are 69.3 percent and 66.7 percent with 90 percent and 64.7 percent collected revenue respectively as a share of the targeted rev-enue and they fall in the second quadrant. These counties are performing below par, revenue collected is below the target and absorption rates on development are sig-nificant but 30 percent below the estimated expenditure. The two counties play a key role to national development, they are edu-cational centres and have various manufac-turing industries which ought to be sus-tained through development programmes.

Though Marsabit, Turkana and Laikipia counties achieve their revenue collec-tion targets, their level of expenditure on development programmes are minimal. Absorption rate for Marsabit is 63.7 per-cent, Turkana is at 58.9 percent while Laikipia is at 53.9 percent. The three coun-ties are located in semi-arid areas with poor infrastructure, relying on tourism as a

has surpassed the targets both concerning revenue collection and estimated expendi-ture on development programmes. There is need therefore that the remaining counties improve on the absorption rates given their high ability to collect more revenue.

In conclusion, though Kenyan popu-lation is largely rural, with an estimated 74 percent of the Kenyans living in rural places it is rapidly gaining momentum. Urbanization brings forth new challenges as well as opportunities and urban centres ought to capitalize on the opportunities that cities bring at the same time address-ing the challenges of urbanization such as mushrooming of slums. There is a powerful link between urbanization and economic growth, high demand for con-sumer goods has been witnessed to sharply increase production. The existence of vari-ous cultures has meant different tastes and preferences and thus increased consump-tion levels in the urban areas. Despite high consumption levels in cities, the disparities in the general price levels is highly affect-ing the lower income groups. This implies that cost of living for the poor in the cities is increasingly deteriorating. The situation may worsen given that the supply of mar-keted staple foods like maize are still to be reducing. High level of disparities in con-sumption of households in Kenya whereby households in counties with large cities like Nairobi are spending more than twice the amount that households in Turkana are spending. All the 47 counties with excep-tion of Homabay are observed to be spend-ing less than the targeted expenditure on development. In addition, only 8 counties achieved the revenue collection target. It is also observed that Turkana and Marsabit, one of the poor counties, are among the counties that achieved the revenue target; they however, did not achieve the target of spending on development projects. Both revenue collection measures and actual expenditure should be improved virtually in all the counties in order to ensure sus-tainable development and improved stan-dard of living in the regions and to the extension, the urban areas.

Effectiveness in the revenue collection and development

expenditure

Efficient and effective revenue collec-tion and its utilization is key to achieving sustainable development in urban centres and counties in general. Each of the forty-seven counties in Kenya has a major urban centre acting as headquarter and coordinates the functions within the counties through various ministries. Counties have been man-dated to collect revenue within their juris-diction and ensure that they are efficiently allocated. However, is revenue collection in counties efficient and effective? At what rate are expenditure targets being achieved? The chart below relates development expenditure and the rates of revenue collection in all the counties in Kenya.

The chart above is a scatter plot of the share of development expenditure to Gross estimates against the share of revenue collect-ed in counties with respect to the set target. Since the sizes of the counties are different and so is the resource endowment, the shares of expenditure and revenue provide a relative measure of how the counties are achieving

their targets and thus an indication of their progress. Development expenditure repre-sents expenditure on long term items that are utilized by people for more than one financial year and include; road networks, power, social amenities and are vital in as far as expansion of urban centres is concerned. For instance, expenditure on infrastructure such as roads enhances market accessibility and mobility of labour, a process through which efficient allocation of resources can be achieved.

The chart classifies the 47 counties into four quadrants, the first quadrant represents counties that have high share of revenue with respect to the target (above 100 percent) and at the same time high absorption rates (above 67.35 percent - the median) of their develop-ment budgets. Counties in this quadrant are in a favourable state, it means the targets that they set concerning revenue collection are being achieved hence high efficiency and effectiveness. It also implies that there is high allocation and actual expenditure of revenues that were estimated for development purpos-es. The second quadrant represents counties that have relatively low share of revenue with respect to the targets but have high absorp-tion rates of their development budgets. This is a better state although less favourable situation since their collected revenue is less than the set target implying low efficiency and effectiveness. However, relative to their coun-terparts, they have higher absorption rates (i.e. above 67.35 percent) with respect to planned development expenditure on agriculture. The third quadrant represents counties that have relatively low share of revenue with respect to the targets and low absorption rates on their development budgets. This is unfavour-able state since their collected revenue is less than the set target implying low efficiency and effectiveness. In addition, relative to their counterparts, they have lower absorption rates (i.e. less than 67.35 percent) with respect to planned development expenditure on agricul-ture. The fourth quadrant represents counties that have relatively high share of revenue with respect to the targets but low absorption rates on their development budgets. This is a less favourable state since it means, though their collected revenue is higher than the set tar-

Development expenditure represents expenditure on long term items that are utilized by people for more than one financial year and include; road networks, power, social amenities and are vital in as far as expansion of urban centres is concerned

chart 6: comparison of local revenue collection and absorption rates in counties, 2014/15

Inadequate revenue may have led to low absorption rates on development expenditure, however, more prioritization on development ought to be considered

Source: Annual County Governments Budget Implementation Review Report, 2014/15


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LEVERAGING URBANIZATION

Policy areas for leveraging urbanization in Kenya as

“a driver” of development in coming years

The promulgation of the Constitution of Kenya, 2010 ushered in an era in which

Kenya began devolving a number of functions and national revenues to counties.

Out of these reforms, financial decision-making should come closer to the people on

the ground, and lead to more efficient and effective allocations of public resources.

By Raphael Obonyo

Specifically technical and professional culture in planning and managing cities as part of nation economic and social fabric combines with exceptionally strong political leadership and funding commitment to guide urbanization

world, Kenya has high rate of urban-ization and the country’s economy has also failed especially when it comes to employment creation for its bulging youth. Decent urban hous-ing, adequate social services and facilities remain a mirage for majority of the country’s urban population. This makes improved standards of living for the ever-increasing popula-tion in town’s remains dreams most do expect to realize in their life-time. Kenya’s prospect for economic and social development is therefore undermined and hindered.

Failure to manage urbanization by planning for it adequately is sure recipe for unmet dreams of prosper-ous economy and society. The World Bank has recently put it more clearly, and according to its 2016 report titled; “Kenya Urbanization Review” notes that 30 percent of the country’s population of 45 million people lives in urban areas. According to the Bank projections the population will stand at 63 million in 2030 of which 40 percent representing 24 million people live in cities. The projec-tions also show that the proportion of population living in cities will increase to 60 per cent by 2050.

These trends reveal that com-mitted policy makers and manag-ers of Kenya macro-economic stor-ages and programmes, trained and skilled urban and county planners, requisite funding of Research and Development (R&D) that target pro-ductivity of industries and technol-ogy innovation - among others - have to be put into consideration in the formulation and implementation of Kenya’s public policy. This way Kenya will turn urbanization to an opportunity for development in line with World Development Report 2009 revelation that no country can achieve high-income status with low level of urbanization.

According to the report, urban-

fallen of expectation of the new entrants to town and cities and those already there. On the other hand, Government initiatives such as building new towns, which Konza city represents and informal settle-ments improvement programmes have not generated, expected jobs or provide needed housing for majority of the urban populations.

Like in many other parts of the

ization is a key driver for develop-ment if proper planning, manage-ment, and implementation strategies are put in place China, a number of countries in South East Asia: South Korea, Malaysia and Thailand; and Latin American countries: Peru, Chile, Brazil, and Venezuela - for example have achieved levels of significant poverty reduction through economic development that is reflected in better planned and managed towns and cit-ies against a background of increased urbanization. The reports also notes that strong urbanization that is sup-ported by technically effective plan-ning and economic management, ethical and accountable professionals and political leaderships were major game changers at time when urban-ization threatened the core of eco-nomic and social survival in Western civilization.

Specifically, technical and profes-sional culture in planning and manag-ing cities as part of national economic and social fabric combines with excep-tionally strong political leadership and funding commitment to guide urbanization. This makes national and local economies generate needed public revenue and earned incomes which translate improved standards. The United States of America and Western Europe economies are good example where planned cities and rural areas manifest a direct linkage to better standards of living.

Urbanization in Kenya stands at over 4% annually. This makes the country one of the fastest urbanizing pars

of the world. More people are migrating to towns and cities in search of higher pay-ing jobs; better living standards pertaining to rural areas. However, towns and cities have failed to generate the jobs leave alone the expected high paying ones while the level of provision of better and adequate housing, social services and facilities have


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Post-constitution of Kenya 2010

The August 2010 Constitution ushered in a devolved system of government. Devolution seeks to resolve inequality through disbursing the national annual budget and involving com-munities in policy formulation, development planning, budgeting through the County Budget and Economic Forum (CBEF) and in monitoring the implementation of public funded projects and activities. Devolution also brings government power and authority represented by county exec-utive committee headed by County Governor as well as political representation which the county assembly symbolizes. Communities embrace the devolved system of government on account of expectation to reduce poverty, create employment and catalyze sustainable economic growth.

Major structural changes in the organization, institutional design and functional responsibili-ties as well as role of the offices established for planning of towns and managing development are also envisaged. These changes are positive response to institutional strengthening. There is also need for reforms to enhance planning and managing for the high rate of Kenya’s urbaniza-tion which stand at 4.36% per annum as can be seen urbanization presents a daunting challenge in near future in terms of inherent dispersed nature of human settlements with multiple effects on natural resources and human use of the agri-culture and urban land. The movement from

rural areas has increased demand for services including water, health, infrastructure, and waste disposal among others. To reverse these undesir-able trends of urbanization that can exacerbate poverty and deepen inequalities, sound policies are required to tap on the emerging opportuni-ties - to harness the economic potential of cities for growth and development

The creation of 47 county governments implying more people will leave in towns as more resources are invested to implement county services delivery programmes as well as infra-structure and human settlement development projects. Urbanization, therefore, presents new and complex challenges to both people and resources. For one distribution of people over land especially within towns and at urban fringes in the new county areas will require a new resolve by national and county government to plan and manage. The threat on sustainability of natural resources on the resilience of land productivity is realities new county governments cannot wish away. For instance, the movement of people from rural areas to towns will lead to increased demand for supply of water, improved health services as well as more investment in sanitation, roads and energy and waste management. Without proper planning mechanisms in place, rapid urbaniza-tion may lead to large urban population which may in turn lead to inadequate provision of social services and amenities and thus exacerbate pov-erty and deepen economic and social inequalities within towns, counties and the Country at large.

Importance of urbanizationThe phenomenon of urbanization in coun-

tries and regions where it is not planned and managed is associated with social, economic, political and even environmental ills. However, urbanization is undoubtedly one of the most powerful human historical forces that has posi-tively influenced and shaped human civilization. Development of human settlements, evolution of forms and systems of governance as well as development of modern economic systems and cultures are singly and in combination a result of urbanization. This is why the blue print for socioeconomic transformation in Kenya’s Vision 2030 envisages transforming the country into a middle-income economy. This thinking is in agreement with The World Development

Report 2009 that planned urbanization is an essential factor in a country’s transition to higher income, i.e. middle-income and/or industrial economy.

Put differently a country aspiring to transit to high income economy has to be one that is not only urbanizing but also one where urban and rural (land use) planning and management used to inform investment decisions. China, South Korea, Southeast Asian nation of Malaysia and Singapore represents economies where governments took calculated urbanization in the 1990s, 2000s and 2010s with notable improved in living stan-dard for individuals as well as national and regional econo-mies. Planning and managing urbanization remains at the cen-tre of sustainable economies and environment in more established economies of Western Europe and North America. The overall picture that comes to the fore regarding the role of properly managed urbanization is a catalyst for strong local economies, High incomes enhanced social services and infrastructure commensurate with the population.

Why Kenya must plan and manage towns

Strangely enough Kenya is yet to design a strategy for planning and managing urbanization beyond Kenya Vision 2030 in line with Population Reference Bureau (PRB). According to PRB “2016 World Population Data Sheet” Kenya’s popula-tion will nearly double from 45.4 million in 2016 to 88.2 million in 2050. Failure to manage urbanization is therefore stoking a possible “time-bomb” from myriads of

social-economic and environment problems and challenges and

potential political conflicts.

Lack of planned growth and management of towns with bad governance of the land sector has compounded; lead to the pro-liferation of extensive slums and informal settlements in all Kenyan towns.

A 2007 study by the United Nations Population Fund (UNPF) on the State of the world population established that 60% to 70% of the urban population lives in slums and slum-like conditions. This large segment of the urban population in the slums is deprived basic infrastructure and services and as well, they live in deplorable and dehumanizing urban shelter condi-tions. In the capital city of Nairobi slum population doubled from 2 to 4 million as growth of urban population from fertility and rural-urban migration. This has aggra-vated urban problems of access of safe drinking water, proper sanitation, crime and other social vices, which are associated with overcrowding and poverty. The rising number badly constructed buildings with incidence of collapsing building and loss of life and property also on the rise.

The youth segment of society is the worst affected by these problems on account of their large numbers, and

The broader point is that the multiplication of documents and forms does nothing, on its own, to encourage proper planning or to force counties to implement their plans through the budgets

A high raise apartments under construction along Southern Bypass in Nairobi. Calculated urbanisation is a key component in improving living standard for individuals as well as national and regional economies.

Residents of Korogocho fetching water from a water vendor.

Failure to manage

urbanization is therefore stoking a

possible “time-bomb” from myriads of social-economic and environment problems

and challenges and potential political

conflicts.

Kenya’s population will

nearly double from 45.4 million in 2016 to 88.2 million in 2050.

- According to PRB “2016 World Population Data

Sheet”


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they also represent potentially the most productive labour if effectively harnessed and managed. In this regard, it is not surprising that UN-Habitat report titled “State of urban youth 2012/2013” show-ing that by 2050 about 50% of the world’s population will live in urban areas has also revealed that 60% of urban population will be under 18 years by 2030. Compared with 80% of the country’s population below 35 years, employment creation to meet rising expectation of finding jobs by the youth is a daunting challenge. Furthermore, young people make up 70% of jobless adults in Kenya. Worse still of 800,000 young people entering the Kenyan labour market in search of employment only 160,000 repre-senting 20% end up getting jobs.

Policy issues

Against this depressing background, steps must be taken to harness the power-ful force of urbanization in Kenya and steer Kenya towards the middle-income status the country has set to achieve by 2030 and beyond. First, policymakers acknowledge-ment that investing in planning for urban-ization may not lead to immediate result but as a political, legislative and budgetary commitment it will pay off in the medium term (15 years) and long-term 20 years and more) payoffs. Industrial and technological innovation which come with these, job that will be created as well as improved housing and service delivery will stamp the status of middle-income the is striving to become. The 55% Gross Domestic Product (GDP) Kenya enjoys with projected proportion of 80% economic growth being in cities, will strengthen the county’s status as a middle-income nation.

No doubt Kenya’s future in attaining and remaining a middle-income coun-try hinges on harnessing positive forces of urbanization. Existing policy gaps in addressing Kenya’s unique urbanization phenomenon will require strong policies to legitimize as well as to backstop the work of institutions and offices estab-lished to spearhead planning and manag-ing the country’s towns. One such policy,

the National Urban Development Policy (NUDP), which was developed in 2012, provides the strategic policy tracks ways the country may handle urbanization. The status of urban development and spatial planning in Kenya is appraised which forms the basis of projected future out-look, potential sectors for investment and recommendations. However, NUDP is not yet launched implying its implementation is not given necessary budgetary provi-sions.

Relevant areas Kenya policy mak-ers have neglected but requiring urgent policy prescription is industrial technology which is tied to result-based Research and Development (R & D) financing. Such pol-icy will anchor urbanization to industrial manufacturing and enhanced agricultural productivity; leading to overall economic

and social development. A vibrant agricultural sector can go a

long way to improve labour productivity in the rural economy. In the long-term, this will in turn arrest rural to urban migration especially for youth.

Strong participation of the private sector in delivery of services, construction of infrastructures, housing and farming should be fostered as part of the overall policy strategy for managing urbanization. The partnership should be built around the existing strong private enterprise cul-ture of large, medium and small enter-prises as well as informal business system. The new devolved system of government has introduced new structures and offices for managing business environment in the counties which can be expected to promote effective planning and managing

for urbanization supportive county. Specifically in counties, Kenya has

established new platforms for policy formu-lation and implementation which county assemblies and county executive commit-tee, respectively. The Constitution of Kenya provides strong institutional capacity, plan-ning and mobilization of resources to plan and manage urbanization. For example, The Urban Areas and Cities Act (UACA) No. 13 of 2011 operationalizes article 184 on urban planning and management of towns. Planning for resource development and management in the counties is pro-vided for in The County Government Act (CGA) No17, 2012 which elaborate Articles 185 and 186 of the constitution. Finally, the principles of mobilizing, utilizing and man-aging public financial resources in plan-ning and managing urbanization are in the Public Finance Management Act (PFMA) No 18, 2012.

CONCLUSIONKenya must look beyond Vision 2030 in figuring out how to manage her burgeoning urbanization. Standing out currently and foreseeable future, Kenya’s key option locates in tapping on urban-ization as development force. The coun-try’s youthful population is growing at alarming rate compared to the rate at which new job opportunities are being created; in turn this has led to high rate of unemployment amongst the this pop-ulation. The longer the country remains without a lasting and effective strategy for creating employment for this bulging population, the more they become prone to social ills such as crime, radicalization etc. The fairly strong entrepreneurial culture in the country’s economic and broadened democratic space predisposes the planning and managing of urbaniza-tion to greater public policy debate in search of approaches that may work and those which might not. Only then can urbanization in Kenya may be leveraged as a positive force for driving develop-ment in coming years.

Urbanisation forecast by 2050 About 50% of the world’s population will

live in urban areas

60% of urban population will be under 18 years by 2030.

Compared with 80% of the country’s population below 35 years, employment creation to meet rising expectation of finding jobs by the youth is a daunting challenge.

Young people make up 70% of jobless adults in Kenya.

Of 800,000 young people entering the Kenyan labour market in search of employment only 160,000 representing 20% end up getting jobs.

- According to a UN-Habitat report "State of urban youth 2012/2013.”

Kenya’s future in attaining and remaining a middle-income country hinges on harnessing positive forces of urbanization

Workers at Alfetex clothing company at Epz Athi river in Machakos county.


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ACCESS TO URBAN HOUSING

Article 11 of the 1966 ICESCR provides for “the right of everyone to an adequate standard of living for him/herself and his/

her family including adequate food, clothing and housing and the continues improvement of living conditions”. The Covenant also sets out general obligations for state parties to undertake realization of these rights. Article 2(1) provides:

“each state party to the present Covenant undertake to take steps, individually and through international assistance and cooperation, especially economic and technical, to maximum of its avail-able resources with a view to achieving progres-sively the full realisation of the rights recognized in the present Covenant by all appropriate means, including particularly the adoption of legislative measures”.

There has been ranging discussion among stakeholders focusing “progressive realization” in the provisions of Article 2(1). A strong feeling per-meate majority of stakeholders that this particular attribute of ten provision free states actors from proactivity to meet obligations of public delivery. Fortunately, the United Nations Economic and Social Council (UNESC) formed Committee on Economic, Social and Cultural Rights (CESCR) to monitor the implementation of the International Covenant on Economic, Social and Cultural Rights (ICESCR). UNCESCR has, in the Committee’s General Comment No 3, clarified the nature of state obligation of states by elaborating what is “progressive realization” as follows:

“The fact that realization over time, or …progressively... is …a necessary flexibility device, reflecting the realities of the real world and the difficulties involved for any country in ensuring full realisation of economic, social and cultural rights. …the phrase must be read in the light of the overall objective … of the Covenant, which is to establish clear obligation for states in respect of full realisation of the rights in question. …to move as expeditiously and effectively as possible towards the goals”.

This elaboration invites citizen holders of claim to the rights to access adequate housing to be con-versant with realities about resources available to their governments for building houses in realizing ESCR. It also cautions governments which might be renegade from concrete, substantive and demon-strable institutional actions taken, being taken and intended to be taken towards realizing ESCR.

Also “adequate housing” is an area that has also generated considerable discussions by stake-holders concerned with right housing against a background of growing urban population. Discussions on what is “adequate housing” have centred on the kind of indicators that can be used to quantify adequacy. According to the Suited Nations Special Rapporteur on Right to Adequate Housing (UN-RRAH) right of adequate housing is “the right of every woman, man, youth and child to gain and sustain a safe and secure home and community in which to live in peace and dignity”.

Indicators instruments and conventions

CESCR has identified the following seven condi-tional indicators in realizing the right to housing:

1. Accessibility: Can disadvantaged groups who include the elderly, mentally and physically

ill and disabled easily access shelter, and are dis-advantaged groups explicitly give given priority in housing laws ad policy??

2.Affordability: Is the cost of shelter negatively impacting on the income levels and financial

ability of individuals and families to pay for other than housing?

3.Availability of the needed mix of services facilities: Are there service facilities and for

safe drinking water, disposal, sanitation, electricity connections, solid waste disposal?

4.Cultural adequacy: Have constructed shelter followed a guidelines and framework to

secure local culture in housing forms as expres-sion of that itself?

5.Habitability: It is arguable whether the space shelter provides sufficient, whether it pro-

tects occupants from weather elements of cold, sunshine, rain and infectious to health

6.Legal security of tenure: To what extent do shelter owners exercise partial or full owner-

ship rights and control of their shelter and what legal protections do they enjoy against forced eviction and harassment?

7.Location: Is the shelter located in an area that is accessible such as close proximity to source

of employment, health service facilities schools for their children and other social amenities?

In addition, the listed below are eleven other international instrument and declarations which calls on all parties to the treaty to

Is Kenya’s quest to address right to

access and adequate urban housing

apace with growing urbanization?

A house is a basic need for every human being as it provides shelter against natural elements, for dignified and secure private and social life as well as an individual’s comfort. Indeed, Covenants, treaties, policies and laws have been designed and a galaxy of frameworks used in the construction and delivery of housing globally, regional and national levels and in towns. One notable framework is the International Covenant on Economic and Social Rights (ICESCR). Kenya ratified and became party to the ICESCR in 1972.By Henry Ogolla

The building Societies Act is presents innovative approaches of providing cheaper housing by providing for group effort in shared financial burdened for both land and cots of shelter

fiscal and monetary policy


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been proposed in form of Eviction and Resettlement Procedure Bill, Community Land Bill and Public Private Partnership Bill. This bill will provide the legal framework for the new tenure arrangements. The building Societies Act, presents innovative approaches of providing cheaper housing by providing for group effort in shared financial burdened for both land and costs of shelter. On the other hand, the National Housing Act which is the framework for implementing the Sessional Paper No.3 on Housing Policy.

Most recently, the Government devel-oped the National Slum Upgrading and Prevention Policy to lay a basis for imple-menting relevant measures in the National Land Policy on slum upgrading and reset-tlement in the context of flexible land ten-ure arrangements. The Kenya Vision 2030 on its own is not a policy but do provide a national framework of providing and access to adequate social amenities, including; housing, water, and sanitation, infrastruc-ture aimed at improving the living stan-dards of the citizenry. The vision reshapes urban planning process focusing on the nurture of “adequate and decent housed nation in a sustainable environment”. It also promotes initiatives for housing develop-ment and mortgage financing.

According to Article 43(1)(b) of the Constitution of Kenya 2010 ”Every person has the right to accessible and adequate housing, and reasonable standards of sani-tation”. Sectional Properties on its part provides for sub-division of buildings into units that are owned by individuals in addition to providing the need frame-work for use and management of common properties. Finally, both Rent Restriction Act and Landlord and Tenants Act regulates the relationship between landlords and tenants, while The Employers Ordinance requires employers to subsidize housing rent for their employees. Constitution of Kenya 2010 on its part provides in Article 43(1)(b) that: ”Every person has the right to acces-sible and adequate housing, and reasonable standards of sanitation” This places obliga-tion to governments and enterprise corpo-

rations continuous demonstration in policy, laws and projects and programmes that indeed drive the agenda of universal access to adequate housing and also ensures that better standards is actively pursued.

Demand way above supply The total population of Kenya estimated to be over 40.9 million with 34% land 67% of the population leaving in urban and rural areas, respectively. Out of the total population 3.0 million people of 2.5% are lacking access to adequate housing. The urban population is expected to increase to 63% of the total population by 2030. It is estimated that at least 3million people in urban areas have no access to adequate housing. The current proportion of the urban population of 34% is projected to grow and that the first largest three urban centres will have between 60 %to 80% of urban population for Nairobi, Kisumu and Mombasa living in informal urban settlements. These changes point to rapid urbanization which is becoming a major

challenge that is undermining the quest for accessing adequate housing by all.

The demand for housing in Kenya cur-rently stands at 250,000 units per annum. The market is only able to supply 60,000 units per annum or 24% leaving a deficit of 76%. The National Housing Policy states that the government would support deliv-ery of 150,000 housing units in the urban areas and 300,000 units in rural areas over a period of five years. These number of housing units have not be delivered in any one year since the policy was launched in 2004. This target has not been realised. Continued mushrooming of informal set-tlements is a direct result of the failure the government faces in implementing the policy the same government formulated.

The number of housing units delivered by public driven developers show that indeed the government has to do much more to build more houses. For instance, Kenya Building Society (KBS) built 364 units in Komarock Phase 5C (220 units) and Precious Garden Phase 2 (144 units). Also, the National Housing Development pro-gramme on the other hand has embarked on developing 188 housing units in Kibera Soweto East-Zone A, 462 units in Mavoko SNP Project, Kibera East-3,000 units in Zone B of Kibera, 2,000 units in Marigu-ini slum of Nyeri, 10,000 in Nairobi through Private Public Partnership and 700 units by Muguga Green in Nairobi. This makes a total of 16,252 housing units that the public driven housing subsector will deliv-er also supported by collaborative build-ing materials and construction technol-ogy (ABMT) which have been developed through research.

Mobilized financial resources to address urban housing related challenges

The government has embarked on address-ing demand side in the delivery of housing by implementing housing projects in infor-mal settlements urban zones and increasing budgetary allocation to housing sector.

The Housing Department at the Ministry of Lands, Housing and Urban

7.Article 8(1) of The Declaration on Right to Development;

8.Article 10,11©, 22,23,25,26,27 and 31 of the Draft Declaration

of the Rights of Indigenous Peoples;

9.Resolution 1994/8 of the Resolution of the UN Sub-

Commission on Prevention of Discrimination and Protection of Minorities;

10. Istanbul Declaration on Habitat Agenda (1996) and

the National Plan of Action on Settlement and Human Settlement to the Year 2020; and Declaration of Cities and Other Human Settlements in the New Millennium.

The five instruments are:

1. Article 5(e) (iii) of the International Convention on

Elimination of Racial Discrimination (CERD)-Article 5(e) (iii); Article

fulfil their obligations to right to adequate housing, followed by five international instruments and declarations with provision on the right to adequate housing that Kenya has ratified:

1.Article 11(1) of the International Covenant on Economic, Social

and Cultural Rights (ICESCR);

2.Article 5(e) of the International Convention on Elimination of

Racial Discrimination (CERD);

3.Article 25(1) of the Universal Declaration on Human Rights

(UDHR);

4.Africa Charter on Human and Peoples Rights (ACHPR);

5.Africa Union (AU) Convention on Protection and Assistance of

IDPs in Africa;

6. Section III (8) of the Vancouver Declaration on Human

Settlements-Section;

11 of the International Covenant on Economic, Social and Cultural Rights (ICRESCR); Article 27(3) of the International Convention on the Rights of the Child (CRC)

2.Africa Charter on Human and Peoples Rights (ACHPR)

3. Article 16 of the Protocol to Africa Charter on Human

and People’s Rights on the Rights of Women in Africa.

Policies leggal and constitutional framework

Since 1966, the Government of Kenya has formulated policies and legal framework for the housing sector when the government published the Sessional Paper No.5 on Housing. The National Housing Corporation (NHC) was also established to replace the Central Housing Board (CHB). Thirty-eight years later the policy was revised and replaced in 2004. The Sessional Paper No.3 on National Housing Policy of 2004 was formu-lated to support implementation of economic Recovery strategy for wealth creation (ERSWC) and the five-year national development plan 2003-2008. ERSWC embodies the Poverty Reduction Strategy Paper (PRSP), for-mulated by the Government of Kenya for the period 1999-2003. PRSP addressed new focus of the World Bank and International Monetary Finance (IMF) on social dimensions of development as condition for assis-tance in development financing.

The goal of the policy is to deliv-ery affordable shelter which secures better standards of living at affordable prices in the market. Sessional Paper No.3 on National Land Policy 2009, also overs informal settlements hous-ing. The policy recommends design-ing of flexible land tenure arrange-ments in consultations with slums dwellers. New law with provisions on eviction that are in line with interna-tional standards and guidelines have

Every person has the right to accessible and adequate housing, and reasonable standards of sanitation

- According to Article 43(1)(b) of the Constitution of Kenya 2010

NHC property: The housing corporation plans to build at least 2,350 new houses annually to help meet Kenyaís huge housing deficit


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the city county and its environs. Pointedly, the City County has the

largest informal settlements consisting of Kibera, Majengo, Mathare, Kangemi, Korogocho, Mukuru and Kiambio. Poorly built urban shelter structures without plans for organization of the location and distri-bution on land characterise these informal settlements. Another downside of these urban slums is lack of drainage, sewer lines, lighting, collection and disposal of solid waste, and absence of access roads.

People living in slums and working in slums pay their taxes in form of indirect tax. These include; value addition tax (VAT) in the market, bus fare for public transporta-tion in form of bus and Matatu fare which the transport firms pay in form of fuel levy and for business license to count govern-ments as well as property taxes for the few who may have registered titles to their plots.

In addition, slums are incubators and safe haven for a multiple of social ills. Life in slums is characterised by high incidence of crime, drug and substance abuse, rape cases, school dropouts, child abuse and child labour and insecurity. Environmental induced diseases that include; tuberculo-sis and meningitis due to congestion and poorly built houses also characterise life in informal settlements. Lack of clean and safe water, under-connectivity to electric power supply, lack of unemployment and under-employment especially among the youth are also a dominant feature of community life in slums. New migrants from rural areas in search of urban centres find cheaper accommodation in the slums. The majority of them are unable to secure ’decent jobs’ with satisfying pay for them to fulfil their life-dream of decent life including better housing condition. These leads a large number of them to remain trapped in slum settlement. A majority of people who live in the slums are poor” communities in slums live in badly built housing structures that are underprovided with services and facili-ties as well as high risked in respect to social ill and very low incomes - remains a stark reality. Indeed, this situation calls for urgent lasting solutions against a background of fast growing urban population.

Slums dwellers are not entirely use-less and hopeless individuals. These settlements are also home to skills, inno-vation, talent, intelligence, unique adapta-tion and resilient “household economies”, group dynamics and social organizations in addition to social cohesion. Collaborative efforts of slum social groups and civil orga-nization in Nairobi led to the formation of localized slum social movements like groups such as “Muungano wa Wanavijiji” i.e. alliance of slums dwellers stand out. The Muungano wa Wanavijiji - has encour-aged and facilitated establishment of sav-ings among its members who since were able to buy or/and build houses. A case in point is that of Huruma “Kambi Moto”. Other social movement like groups which have been formed in the slums are “The Youth Congress” which provides platform

for the youth to participate in housing and land issues, Nairobi Peoples Settlement Network (NPSN), Kutoka Network, “Ngazi ya Chini” and Soweto Forum. Civil Society Organisations (CSOs) which have spear-headed the creation these social movement like groups in slum include: Economic and Social Rights Centre also known in Swahili as “Hakijamii”, Pamoja Trust, Kituo Cha Sheria, Amnesty-Kenya, Kenya Human Rights Commission (KHRC), Kenya Land Alliance and housing coalition organisa-tions.

The Kenya government stance on the slums question

The Government of Republic of Kenya alone and in partnership with develop-ment partners has implemented various projects and programmes to address the slums problem. Upgrading projects and programmes of existing slums and prevent-ing mushrooming of new ones, in addition to policies to guide in managing of slums are a key pillar of this effort. The develop-ment of National Slum Upgrading and Prevention Policy (NSUPP) stands out as an important public instrument for guiding the managing of slums across the country. The Kenya Slum Upgrading Programme (KENSUP), 20 years i.e. 2001 - 2020, undertaking which was conceived drawing on Goal 7 Target 11 of the Millennium Development Goals (MDGs). KENSUP and similar programmes at improving lives of at least 100 Million slum dwellers worldwide by 2020.

In Kenya, KENSUP is expected to posi-tively affect at least 5.3 million urban slum dwellers which translate to about 1.6 mil-lion households. The objective of the pro-gramme is to improve livelihood and create employment in slums and informal settle-ment in Kenyan towns. The actions areas of KENSUP include; provision of critical social facilities and physical infrastruc-ture, planning for the slums settlements, shelter improvement, tenure regularization and community mobilisation to actively participation and involvement. There is also the Kenya Informal Settlements

Development was allocated a total of Kshs.12 Billion for the Financial Year 2014/2015. Kshs. 644.2 million and Kshs. 580 million were allocated for recurrent and development expenditure respectively. In Financial Year 2015/2016 there was a sig-nificant increase with allocation of Kshs.2.3 Billion with 143.5 Million for recurrent and 2.2 Billion allocated for development.

There are notable projects the Government of Republic of Kenya jointly with development partners is undertaking to address the demand for urban housing directly and indirectly. One such project is Korogocho Slum Upgrading Programme (KSUP) in Nairobi at a cost of US$ 230,000. The project aims at improving living and working condition of Korogocho resi-dents. Another slum upgrading project is in Kilifi and is funded by the European Commission USD $650,000 in addition of US$ 550,000 by the Kanya government through the Ministry of Land, Housing and Urban Development during Financial Year 2015-2016. UN-Habitat is participating in the Kilifi project which will benefit 20,000 people.

In Kisumu, the County Government of Kisumu is implementing a four-year pilot urban development project. The project is jointly funded by Agence Française de Development (AFD) and the Government of the Republic. AFD is contributing Euro 40 million which is approximately Kshs. 4.7 bil-lion while the Kenya government will meet the cost of the project of Kshs. 823.4 mil-lion, during Financial Year 2015/2016). The Kenya Informal Settlement Improvement Programme (KISIP) is also being imple-mented to improve the living condition of communities living in informal settle-ments selected of selected municipalities in Kenya. The focus of the project is to enhance security of tenure and improve implementation of infrastructure pro-grammes in consultation with the commu-nities. The total cost of project is estimated at $165million which approximately Kshs 16.5 Billion with joint funding as follws: the World Bank (60%), Swedish International Development Agency (SIDA) and Agence

Française de Development (AFD) (30%) and the Government of the Republic of Kenya (10%). The government allocated the project Kshs 2.446 Billion during the Financial Year 2015/2016.

Why Slums MatterSlums are a common urban phenomenon in all urban centres in Kenya. As a unique type of informal settlements, slums pres-ent a herculean challenge that must be overcome as part of managing urbanization and its negative influence on human life in Kenyan towns. A study by the UN-Habitat in 2008 found out that between 60% and 80% of urban population in the three largest urban centres, namely; Nairobi, Mombasa and Kisumu live in informal settlements. The study has also noted that 60 % of population in Nairobi City County live in informal settlement in form of slums which occupy a misery 5% of the total land area in

A backdrop of a slum upgrading project at Kibera slums in Nairobi. There are notable projects the Government of Republic of Kenya jointly with development partners is undertaking to address the demand for urban housing directly and indirectly.

A study by the UN-Habitat in 2008 found out that between 60% and80% of urban population in the three largest urban centres, namely Nairobi Mombasa and Kisumu live in informal settlements


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the Constitution of Kenya 2010. In granting the order Justice Aggrey Muchelule stated that:

“…by order of mandatory injunction, the Respondents are compelled to return the Petitioners to the land from which they were evicted. The Respondent are further commanded to reconstruct reason-able residences and/or alternative accommodation and/or housing for the Petitioners. Such residences, accommodation and /or housing should have all the amenities, facil-ities and schools that were subsist-ing on the land at the time of the evicting and demolitions, or should be mutually agreed upon. There will be a permanent injunction to restrain the Respondent from any such future evictions and/or demo-litions unless and until the law is followed”

In the above matter, the petition was uncontested and Court did

of nature, health risk, insecurity and lack basic human necessities includ-ing food, clean water and sanitation.

The affected community moved to High Court seeking orders and declarations that among other, forceful, violent, brutal eviction and demolition of their homes with-out alternative shelter and accom-modation was a violation of their fundamental rights. It also denied them accessible to adequate hous-ing, reasonable standards of sanita-tion, health care services, freedom from hunger and right to clean and safe water in adequate quantities as guaranteed by Article 43(1), read together with Article 20(5), 21(1),(2) and (3) of the Constitution of Kenya. The High Court ruled in favour of the petitioners concluding that the forced eviction was a violation of the fundamental rights of the petitioners to accessible and adequate housing as enshrined in article 43(1) (b) of

not therefore have the opportunity to evaluate contending argument on the right of accessing adequate housing as provided for in the Constitution of Kenya.Case 3:

Finally, Engineer Charo wa Yaa Vs.Jama Abdi Noor, Trade Plus International Ltd, Municipal Council of Mombasa, County of Mombasa, and Attorney General, the High Court in Mombasa was petitioned by a group that had been evicted from the private land they had occupied following a court order

The petitioners argued that their eviction was a violation of their constitutional right to housing and other guaranteed rights, which the Constitution has guaranteed. They also asked the court to allow evictees living in makeshift structures on the property:

“… to obtain humanitarian sup-port to construct temporary tents, portable bathrooms and toilets on the property so as to safeguard their rights to accessible and adequate housing and to reasonable standards of sanita-tion until the hearing and determina-tion of the (main case) herein.”

The court rejected the application. The judge ruled that the provision of Article 21(2) of the constitution start-ing that:

“The State shall take legislative, policy and other measures, including the setting of standards, to achieve the progressive realisation of the rights guaranteed under Article 43 meant that the right to housing as provided in Article 21(2) of the Constitution is not a final product for direct dispensa-tion, but an inspirational right, which the state is to endeavour to render progressively”.

The court also dismissed the application for the consideration of temporary tents, portable bathrooms and toilets by those already evict-

Improvement Project (KISIP), which is an interventional partnership of the Government of Republic of Kenya and development part-ners. KISIP was launched in 2011 targeting 15 municipalities/towns and these include; Nairobi, Mombasa, Eldoret, Machakos, Malindi, Kakamega, Naivasha, Nyeri, Thika, Kericho, Kitui, Garissa and Embu. This project initiative was financed by the World Bank to a tune of US$ 100 million while AFD, SIDA and Government of Kenya have each contributed US$ 45 Million, US$ 10 Million and US$ 10 Million, respectively. The aim of the project is to improve living conditions in informal settlement in these towns by enhancing secu-rity of tenure and improving infrastructures following urban plans which are prepared in consultation with the communities. The reali-sation of these aims is anchored on strength-ening urban institution in these towns, secur-ing access and service delivery and promoting planning led urban growth.

The involvement of the re-branded National Youth Service (NYS) in improving slums or slum facelift by undertaking activi-ties that include; solid waste collection and disposal, unblocking of drains, building of toilets and dispensaries among others reveal the zeal of the government in employing interventions at its disposal to ameliorate living condition in slums and other urban informal settlements.

In the corridors of justiceIndividuals and communities seeking jus-

tice on account of real and potential forceful eviction from their rightful shelter though in considerable deplorable conditions have abound in the Kenya judicial offices. Three cases are outlined below to illustrate key fea-tures in the administration of justice concern-ing evictions and related violations of rights to shelter.

Case 1:

Satrose Ayuma and others Vs The Registered Trustees of the Kenya Railway Retirement Benefits Scheme (KRRBS)-HCCP 65 of 2010 (Nairobi)

The case stands out as it involves a resident of Muthurwa Estate, Ms Satrose

Ayuma and Trustees of the Kenya Railways Staff Retirement Benefit Scheme (KRRBS). Muthurwa is an old housing complex built in the 1920s and is currently managed by Trustees of KRRBS. The petitioner implored the court in 2011 to stop the destruction of their houses by the Trustees on ground that removing them from the houses will render them homeless and destitute. They further argued that it would be difficult to find an alternative accommodation in the neighbour-hood.. Living in the slums they argued, would be a violation of the Constitution and their fundamental rights to better housing because life in slums is unhygienic from poor or lack of sanitation, far worse housing struc-tures and social ills common in overcrowded informal urban settlements.

They also argued that if the court did not stop impending eviction by the Trustees, the likelihood of unlawful, high-handed, inhu-mane and degrading manner in their eviction was imminent. The High Court granted an injunction stopping the Trustees from force-fully evicting the resident until the matter is heard and determined.Case 2:

Secondly, Ibrahim Sangor Osman and 1,122 others Vs The Minister for Internal Security and Provincial Administration, Minister for Land, Attorney General and Municipal Council of Garissa-HCCP No 2 of 2011-Embu.

In this case the petitioners were evicted by Administration Police and Garissa Municipal Council officers from the land they had occupied since 1940 in Medina Location of Garissa Municipal Council. The houses were demolished after police officers used tear gas to violently evict and eject them of the land. There were no written notice that had been served to them and the police had no court order authorizing the eviction. Additionally, the petitioners’ were not engaged in any consultation or any explanation given to that effect. Evictees included; women, children and the elderly who had known the area as there only home. This led evictees to live and sleep in the open, makeshift temporary structures and where exposed to element and vagaries

Not only must dollars be drained from the economy to make trade payments, mediocre export performance and the poor performance of tourism negatively inform the CBK’s ability to throw dollars at the depreciation problem

A slum street lighting project at Mathare slums in Nairobi, this has bootsted the economic activities in such informal settlements.

Construction of a modern toilet in Nairobi's Kibera slums.There is also the Kenya Informal Settlements Improvement Project (KISIP) which a interventional partnership of the Government of Republic of Kenya and development partners.


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ed and living in makeshift structures on the disputed land.

These three cases and rulings among others inspire citizens particularly those who are directly affected to demand for the right to accessible and adequate housing. They also call for citizens to push the gov-ernment to enact relevant laws, timelines and set standards toward realisation of right to accessible and adequate housing.

Take Note as Transition to Devolution Happens

The Constitution of Kenya promulgated on August 27, 2010 introduced in a new system of governance. The major structural changes brought by the Constitution are the devolved system of government moving Kenya from a highly centralised-sectoral government; to a two-tier devolved govern-ment consisting of a unitary national gov-ernment and forty (47) county government. Article 6(1) provides that ”the territory of Kenya is dived into the counties specified in the First Schedule”. Forty-seven (47) political and public administration county

areas. The main aim of devolution is to devolve political power and responsibilities, financial resources through annual budget-ary allocations, subnational political repre-sentation, and participation of communities in policy formulation and implementation as well planning and development man-agement at local level.

The National Government and the forty-seven (47) county governments were elected in March 4, 2013 and are up and running. These county administrations are already receiving funds from the national government and other non-state actors for development and operations in fulfilling it functions. In the recent past, most of the counties have organised major investment conferences to market their counties and present the counties as investment destina-tion and to interest local and international investors to invest in their respective coun-ties. Some counties have proposed incen-tives like free land and tax waivers, to inves-tors. The counties provide opportunities for livelihood and socio-economic devel-opment which encompass employment

and businesses. Development functions that have been devolved as provided for by Part 2 in the Fourth Schedule include; Agriculture, management of natural envi-ronment and environmental acre.

Two observations are made; First, peo-ple are moving to live and work in counties. Elected leaders in the counties, investors and people moving into counties in search of jobs and business make important posi-tive changes in Kenya’s development land-scape. This is increasing the demand for housing in the counties. Secondly, as county institutions evolve and more people leave in towns the need to demolish struc-tures to pave way for road construction, health centres and government offices, etc, will affect housing. This will render the affected families homeless.

This will lead to the emergence of slums and informal settlement in towns to respond to demand for housing. This calls for relevant development plans and policies by both the county and national government, as well as the private sector to respond to demand for housing. Eviction

should be done in humane manner to ensure that the right of affected are not violated while reasonable compensa-tion is provided for as part of the evic-tion programme, process and phases. This will be in line with a case in 2014?? Kenyan court involving Susan Waithera and others Vs. The Town Clerk, Nairobi City County and two others. The judge acknowledge the need to have guidelines in an eviction event and state:

‘Kenya should develop appropri-ate legal guidelines on forced evic-tions and displacement of people from informal settlements so that if people have to be evicted from such settle-ments the act is done without violat-ing peoples constitutional rights and without causing extreme suffering and indignity to them‘

RECOMMENDATIONSInterventions of the Government in addressing challenges in delivery of housing are obvious. However, these efforts are not adequate given the growing urbanization, strained limited facilities and services and excruciating. The following recommendations are in order to further address the chal-lenges:

Review and align policies and laws that relate to delivery of housing to the Constitution. Specifically, review the National Housing Policy need to be fast tracked enacting laws, which addresses inclusive social housing.

Parliament should fast-track enact-ment of pending bills relating to land and housing.

Design clear and elaborate frame-work for informed community par-ticipation in policy formulation and implementation concerning in respect of housing, upgrading of informal settlement and slum clearance.

The National Slum Upgrading and Prevention Policy (NSUPP) should be finalized, adopted and operational-

ized to guide slum upgrading pro-grammes and projects.

The Eviction and Resettlement Procedure Bill and Community Land Bill should enact to facilitate address-ing eviction and resolution of com-munity land issues.

The government should allocate the required financial resources for housing in rural and urban areas.

Design an enabling framework for county government involvement in addressing housing needs and man-aging existing and potential informal settlements.

Create an enabling market envi-ronment for wealth creation in rural areas offer alternative sources of employment and livelihood for potential migrants to towns.

Document good practices and models that can be replicated in Kenya taking into account multi-plicity of actors and interests in the housing sector of the economy and society.

Create incentives to facilitate the majority of population to construct

their own houses especially in the rural areas.

The government should Zero-rate and/or subsidize key construction materials used by the urban poor and rural households.

The government should allocate enough human and financial resourc-es for research, public sensitization for civic awareness creating.

Maximize use of appropriate build-ing materials and modern construction technologies that are cost effective and durable

The government should facilitate maximizing on land use by facilitat-ing construction of multiple dwelling housing such a blocks of flats.

CONCLUSION

There are notable intervention by the Government of Republic of Kenya and other stakeholders to provide accessible and adequate housing. However, the challenge to provide decent housing is still evidence from proliferation of informal settlement poorly built, lack of planning as well as absence of sanitation and basic services. This calls for coordinated efforts to address challenges posed by informal settlements in general and slums in particular. For exam-ple, interventions by Kenya Slum Upgrading Programme (KENSUP), Kenya Informal Settlements Improvement Project (KISIP), National Youth Service, County Government and other partners need to be well coordinated and consolidated. There is also need to allocate budget at the national and county government to finance programmes as well as facilitate informed participation of commu-nities in policy formulation and implementation.

Investors are shifting to counties which will make important positive changes in Kenya’s development landscape.

Kenya should develop appropriate legal guidelines on forced evictions and displacement of people from informal settlements so that if people have to be evicted from such settlements the act is done without violating peoples constitutional rights and without causing extreme suffering


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INFRASTRUCTURE DEVELOPMENT

The government has since increased bud-getary spending on infrastructure projects across the country. Among the flurry of

legal instruments put in place to support these public spending includes; The Public Private Partnership Act, 2013, which has also widened the scope of pool of local and international financial sources for infrastructure development. China has shown keen interest in trade and development at the turn of the 20th century, which has resonated well with African govern-ments/countries, the foremost players in this latest Kenya’s focus on port, railways and road development.

The involvement of China in Kenya’s quest for infrastructure development has like in the early 1960s soon after independence, placed Kenya at centre of the country’s role as the gate-way to East and Central Africa serving its land-locked neighbouring countries of Uganda, South Sudan, Rwanda, Democratic Republic of Congo and Burundi through the port of Mombasa and the proposed Northern Corridor. The Kenyan government has embarked on building and reha-bilitating over 14,000 kilometres of road to con-nect the country to improve connectivity within the country and with neighbouring countries of Tanzania, Uganda, Ethiopia, and Southern Sudan; and with the new transports corridors and port facilities.

On this account, development of road, rail and port infrastructure remains the key drivers of the economy. The IMF and World Bank estimated a growth of 5.6% in 2015 for Kenya against a lower average growth of 3.5%t for Sub-Sahara Africa. However, Kenya has a lot more to do to maximize on her newly built and planned infra-structure towards the realization of the country's economic and social development by sealing existing policy gaps, containing governance chal-lenges that continue to mire public sector devel-opment, planning and adopting a more pragmatic strategy.

The scope of sea/airport, railway and road infrastructure which Kenya has built since Vision 2030 was launched in 2008 is the strongest pillars the country has had since independence.

Port Infrastructure Development With foresight and technology supported plan-ning of the long Indian Ocean shoreline of extensive ocean resource of Kenya’s territorial waters consisting 230,000 km2 of ocean area which stretch for 200 nautical miles offshore can be a game changer in the country’s eco-nomic fortunes. This makes the country’s maritime sector a reserve of huge potential not only for ocean coastal wildlife resources but also for the development of maritime-based port infrastructure. A sound policy framework is needed in leveraging existing potential of the coastal land and marine resources through political tack and count development strategies. Policies on employment and income genera-tion should promote economic activities, which account for blue economy at county and sub-country levels.

The handling of over 92% international trade of Kenya is conducted through the sea. However, the investment profile of the coun-try reveals that local investors are not keen to commit their capital in the maritime sector investment. Kenya has no commercial ship. Yet recent discovery of oil and gas attest to the prospect in the growth of port cargo before and after construction of the Standard Gauge Railway line.

Already these prospects are putting pres-sure on to open Kenya’s local ship register which will allow ships to fly Kenyan flag. Despite the growing demand to create enough workforces commensurate to the industry growth, the status of the maritime training is not very encouraging. Colleges and universi-ties offering academic and technical training on maritime courses in Kenya are not fully established.

In comparison, Ethiopia whose sea front is landlocked has purchased 8 ships which earn the country over $40 million annually. Liberia is ranked number one African country in ships and comes second after Panama on revenue earnings from the maritime economy. Philippines on the other hand, has established 37 maritime academies, 20 maritime training centres and 17 crew manning agencies. The country supplies 20% of the world seafarers who remit US$5 billion annually from foreign

sailing vessels. In comparison Africa contrib-utes a mere 8% of seafarers in the world against a global shortfall of an estimated 83,900 offi-cers and 450,000 subordinates in 2015.

Since Kenya was white listed by the International Maritime Organization (IMO) in 2010 the country and now train seafarers who can work in the international waters but the impact of the training is yet to be felt locally and internationally. In this regards the country can achieve more and better beneficial result for her economy and society marshaling a more futuristic outlook in port and railways development in relation to other players in Eastern and Central African region.

Port of MombasaThe Mombasa port has undergone major infrastructural developments to leverage the port-city’s role in growth of Kenya economy centred along the Northern Corridor.

The dredging of the port entry channel and the construction of additional new berth area has created new capacity to the port to handle both Kenya destined and transshipment cargo. The port capacity increased from the construc-tion of the 240m long berths 19 in 2013, which increased container terminal quay, is from 600m to 840m long. The first phase of the second container terminal development has created 450,000 twenty foot equivalent units (TEU) has been handed over to the Kenya Ports Authority (KPA). The contractor for the second phase of port expansion will complete in 2018 and increases the capacity to 1.2 million TEU. This extra capacity is overwhelming for the port that has recorded an annual growth of only 10 percent. Container Freight Stations (CFSs) and privately operated and custom bonded facilities that were established in 2007 have also created extra capacity to handle all port cargo destined for Kenya market. These facilities opened out-side the port and have transformed socially and economical depressed locations in the City of Mombasa vibrant trade and commercial areas. The flexibility and efficiency in the conduct of port business which CFS and custom bonded facilities also offer makes them the preferred platforms by cargo handlers and the trad-ers. Currently, over 80% of importers of

A call for change in tact, strategy and focus in Kenya’s infrastructure developmentBy Githua Kihara


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as a regional hub of maritime trade. For instance, the port handled over 26 million tons of cargo in 2015. Of these cargo con-tainer, traffic which passed through the port increased by 7.5%. However, the volume of goods transshipped at the port to neighbor-ing countries fell by 28.4% from 731,912 tons in 2014 to 523,993 tons in 2015. This is a clear sign that in recent years the port of Mombasa has increasingly faced serious competition from other East Africa Indian Ocean seaports especially the port of Dar es Salaam.

The port of Dar es Salaam has embarked on the construction of port infrastructure and reforms in port management which has attracted maritime business destined for Rwanda, Uganda and Burundi previously handled at the port of Mombasa. The plan by Tanzania government to develop the Central transport corridor (Dar-es-Salaam - Dodoma - Kigoma rail-road) instead of sup-porting development of the Northern cor-ridor (Mombasa-Nairobi-Kampala-Kigali rail-road) has made Rwanda and Uganda to withdraw their commitment and involve-ment in the Standard Gauge Railway (SGR) development. Other regional ports that will also pose competition fro Mombasa are; Djibouti, the proposed development and modernization of Bagamoyo at Northern coast of Tanzania, and Mogadishu port in Somalia, which is also expected to expand as peace and normalcy return to this war ton country.

LAPPSET CorridorLamu Port and Southern Sudan Ethiopia Transport Corridor (LAPPSET) is an infra-structure project which combines construc-tion of a free port at Manda Island, Lamu, road and a railways line. In addition an oil pipeline is proposed for construction from the port to Southern Sudan as well as airport and resort cities at Lamu and Isiolo. However, the progress in the construction of this second transport corridor consist-ing of the LAPPSET compared to ongoing expansion and modernization at Mombasa port. LAPSSET is the second transport cor-ridor extending from Lamu port and is a

schedule, inward and outward ship mani-fests of the vessel to the port management making moving the cargo out of the port unnecessary. However, KAP secures this through a transshipment bond of Ksh 100,000 per container. Shipping lines avoid port of Mombasa for unnecessary huge cost. Although the bond has since follow-ing intense lobbying industry stakeholders, reduced the bond Ksh 1,000 per container but with Clearing and Forwarding Agents fees is still pegged at Ksh 10,000 per con-tainer.

For a long time, the main market for Mombasa port transshipment market was Tanzania, Zanzibar and Tanga and Islands of Madagascar, The Comoros and Mauritius. With attractive incentives, the existing improvements of the port of Mombasa, the port will open options in handling additional transshipment cargo destined for Seychelles and Northern Mozambique.

Overall, as infrastructure facilities are improved through construction and mod-ernization. The port of Mombasa has had upward trend in the improvement

national, regional and international flagship project under the Kenya Vision 2030. The port and transport infrastructure are aimed at propelling Kenya economy including opening the North Eastern region of Kenya, and facilitating growth and expansion of trade and commerce in Southern Sudan, Ethiopia and Northern Uganda.

The concept of LAPSSET corridor mega-project was developed in 2008. The project consist an international trunk road, a railway line, oil refinery, oil pipeline, Lamu airport and a free port at Lamu on Manda Bay. In Kenya, the main corridor is planned to connect Garissa, Isiolo, Maralal, Lodwar and Lokichogio. The road section of the corridor is planned to also connect Isiolo, Marsabit and Moyale at Kenya-Ethiopia border. Branch of the connected Isiolo and Nairobi will be realized through further improvement of road between expected to branch at Isiolo and Nairobi. The Lamu Port, according to the original plan would be linked to Mombasa port by a new rail-way line and an access road.

However, the slow pace in rolling out the project undermines the original pur-pose of the corridor. Ethiopia, a land locked country with a population of 80 million people needed an alternative and reliable port in 2008. Ethiopia had for long suf-fered from a lack of railway infrastructure across its territory. The French built its first meter-gauge railway in the 1890s. However, Ethiopia has accelerated construction of her flagship project, which consist a 700 km railway linking to Addis Ababa and port of Djibouti, which currently caters for 70% of seaport business. The line is expected to become fully operational later this year.

Kenya destined cargo pointing to the need to develop this line of port business platform separate from the new terminal at the port of Mombasa.

These improvements are good indicators of calculated move to make Mombasa port not along a strategic maritime land/ocean interface for Kenya and East and central African region as whole, but also a hub of maritime business and trade in the region. Earlier in 2011 the Mombasa port resumed transshipment opera-tion, which was suspended in 2008 following port congestion. Strangely, the re-introduction of transshipment has not improved the volume of port business. According to the 2011 Kenya Port Authority (KPA) statistics, out of a total of 770,804 TEU, the port handled only 19,927 accounting for a mere 2.6% of TEU transship-ment cargo for the year. In 2012, the total throughput at the port increased to 903,463 TEUs while transshipment volumes decreased to 12,067 accounting for meager 1.3 % of the TEU. The following year (2013) saw the port handled 894,000 TEU with transshipment cargo recording 16,269 or 1.8% of TEU. Transshipment proportion of maritime cargo handled at the port improved and this showed signs of picking up in 2014 from 60,854 TEU, which is 6.05% of the 1,012,002 or 1.0 m TEU. This improved records is attributed to the joint effort the port authority and Kenya Ship Agents Association (KSAA) did in market-ing the port facility after the jubilee administration abolished transship-ment bonds and direct involvement Clearing and Forwarding Agents in day to day port operations.

In 2014, the port of Mombasa increased transshipment and this is a pointer to the untapped potential of the port to attract more transship-ment business. In addition, this has

stimulated major growth of maritime facility not only in Kenya but also in East and Central Africa and with the global reach. There are over 26 ship-ping lines using Mombasa this year. Of these 20 of the line accounting for 76.9% handle containers busi-ness. According to KPA Maersk, the largest shipping line in the world by total volume offloaded 394, 692 TEU at the port of Mombasa in 2015. MSC and CMA/CGM, the second and the third biggest shipping lines in the world, handled 140,629 and 126,610 TEU, respectively. PIL line handled the second largest volume of 174,169 TEU.

An old problematic issue, which remains unresolved, is the costly delays in handling of cargo ships resulting to daily average additional vessel operating costs. Shipping lines range incur between $ 20,000 - $ 35,000 depending on the size of the vessel. The practice in other ports requires a ship to communicate the

LAPSSET is the second transport corridor extending from Lamu port and is a national, regional and international flagship project under the Kenya Vision 2030

MoMBASA PoRT CARGo TRAFFIC

Dredging process at the container terminal on the port of Mombasa, these improvements are good indicators of calculated move to make the port a hub of maritime business and trade in the region.

Container traffic through Kenya's biggest port grew by 7.5 percent in 2015 after new cargo-handling infrastructure was built, shortening the turnaround time for ships, port management


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The Republic of Southern Sudan is set to become a major exporter of oil. However, political and strategic imperatives rule out the role of the newly independent country in LAPSSET in spite of the country’s dependence on Port Sudan on the Red Sea in the Republic of The Sudan. As such, Southern Sudan is in the market for a viable alternative. The discussions between Kenya and Southern Sudan further identified the construc-tion of a railway link and an oil pipeline to the coast of Kenya as being urgent. Participation of Southern Sudan in LAPSSET would see con-struction of the section of the railway line from the Kenya Border in Turkana County to Juba as construction of an oil pipeline to connecting that country and Lamu. Both the railways and pipe-line will shorten the 4,000km distance between Juba and Port Sudan to 1,500 km between Juba and Lamu, which is less than half of the Juba-Port Sudan distance. The proposed railways and access road connection between Lamu Free Port and the proposed area of Mombasa free at Dongo Kundu is meant to secure a twenty-four hour operation and port cargo handling services at the Kenya Coast.

LAPPSET is expected to play a main trans-

portation railway and road for trade between Kenya, Northern Uganda, Southern Sudan and Ethiopia. The project is expected to be a game changer between the Republic of Southern Sudan and Federal Democratic Republic of Ethiopia with rail and road to a seaport for their maritime commerce and trade. LAPSSET is also expected to open up remote areas such as the Northern Kenya region and Eastern Africa. However, prospect of ever completing the project as originally planned is hanging on the balance.

Lamu Free PortThe construction of the first three berths at Lamu Port with allocation of additional KSh 10 billion in 2016 budget allocation has stalled. Rwanda and Uganda has withdrawn from both Standard Gauge Railway (SGR) and LAPPSET. This makes it inevitable for Kenya to change tact, strategy and focus in engaging Eastern African countries and finalize the development of Lamu port, LAPSSET railway and road infrastructure. In this regard, there is a strong case for the initial phase of Lamu port development on transshipment cargo.

As assurance for extensive hinterland mar-ket for the planned port, railways and road infrastructure has faltered after withdrawal of the Governments of Rwanda and Uganda. This leaves transshipment segment of maritime har-bour business as the strong economic reason for the construction of the natural port. Lamu free port would be an infrastructure facility where goods will transit through or be stored for up to 5 years without the complicated customs formalities. This would provide added advantage in trade, and commercial interests of Southern Sudan and Ethiopia bound goods, as well as the exports from these countries. The will also pro-vide free trade zone where raw material will be will be processed to finished goods and products for export as well as storage.

Cruise TourismAnother important area is cruise tourism which has been sluggish since the number of suc-cessful pirate attacks rose in 2010, 2011 and 2012. The cruise business suffered a blow from 2009 to 2012 when pirate attacks were highest and between 2009 and 2011, there were 124 hijackings while 529 ships were attacked, which

resulted to a drop in cruise ships calling at the Mombasa port.

In 2004, at least 42 cruise ships arrived in Mombasa, with 15,166 passengers who took safaris to various destinations espe-cially to Maasai Mara and Tsavo national park, earning the sector millions of shil-lings. But the number dropped as piracy took over in the Indian Ocean, with 2012 being the worst since not a single vessel called at Mombasa port.

The sign of growth in cruise tourism is now visible having received 4 vessels in 2015. At an average growth-rate of 7.4% annually, cruise tourism is the fastest grow-ing niche in the tourism industry over the past two decades, with global revenues expected to hit $120 billion in 2016, espe-cially so given the low global oil prices.

SGR and Commuter Rail in Nairobi Metropolitan Region

The construction of the Standard Gauge Railway (SGR) will give rise to industrial parks along the Dongo Kundu in Mombasa, Mtito Andei, Nairobi and Naivasha which will stimulate the manu-facturing sector and which will increase the volume of goods transported by the railway. SGR project is one of the largest of its kind in Sub-Saharan Africa, and Kenya’s biggest infrastructure project to date. The rail project includes the construction of 700 km of standard-gauge track, 33 railway stations and dozens of wagons and loco-motives. The first phase of the project ends in Nairobi and is expected to be complete by mid-2017. SGR project is projected to create 30,000 new jobs. The cargo freight is expected to run at 80 km/h and 120 km/h for passenger freight which will reduce travel time between Mombasa and Nairobi 15 to 4 hours which will be considerable impact transport activities.

The Development of commuter rail transport in Nairobi is expected to manage and reduce traffic congestion and improve transportation within and through Nairobi metropolitan region. The Kenya Railway launched the commuter rail system offi-

Road Infrastructure

Road infrastructure is a crucial link between port and railways infrastructure in addition to being key in access to prim-ing areas, location and local sites where development activities and social residency occur. This explains why Kenya government has constructed the Isiolo-Marsabit-Moyale road, a section of Isiolo-Moyale LAPPSET in Northern Kenya and Northern corri-dor (Nairobi-Isiolo). The government has embarked on construction of over 14,000 kilometres of paved roads focusing on hav-ing a total of 24,000 kilometres of paved road in Kenya to aid transportation of goods and passengers the road sector account for 93%.

As whole the expansion of the Mombasa-Malaba road has through pri-vate-public partnership has improved con-nectivity between Kenya, Uganda, Rwanda and Burundi. However, road connectivity between Kenya and South Sudan remains very poor. Road transport between the two countries is currently only through long and tiring route passing through Northern Uganda. This particularly makes Southern Sudan imports through Mombasa port

cially in 2009. The development of the system has two components. The first is the rehabilitation of the 167 km of existing railway infrastructure. The second compo-nent is construction of new commuter rail line to connect JKIA with the rehabilitated railways. As of 2016, the Syokimau-city commuter rail line has been constructed and operations opened in 2012 to run daily commuter services during peak hour traffic in the morning and evening.

Construction of the Kitale-Lodwar-South Sudan road remains unrealized due to lack of financiers. The road starts from Lesseru, Kitale Town, Marich Pass, Lodwar and Lokichogio ending at Nadapal on Kenya /South Sudan border

A container is off-loaded from a ship at the KPA’s container terminal. Ealier in 2011 the Mombasa port resumed transshipment operation which was suspended in 2008 following port congestion.

Construction workers at the Standard Guage Railway (SGR) trial section at Mtito wa Ndei on JANUARY 20, 2014.

LAPPSET is expected to play a main transportation railway and road for trade between Kenya, Northern Uganda, Southern Sudan and Ethiopia.


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southern eastern Kenya and Tanzania.The OSBP model provides for inter-

national border customs and immigration officials from two neighbouring countries jointly use one border post office. The Holili OSBP office model will also be built at Busia, Namanga, Isebania and Lunga Lunga. Later the office model is expected to be built at Kenya-South Sudan and Kenya-Ethiopia border posts.

The road will provide an alternative route to Tanzania’s Central Corridor. Kenya sees the two projects as fresh fronts in its battle for control of regional cargo after losing a significant portion of Rwanda and Burundi-bound cargo to the Port of Dar in the recent years. Up to 2003, at least 60 per cent of Rwanda and Burundi cargo passed through Mombasa and the

Northern Corridor before traders began to shun the Kenyan facilities citing congestion at the port and insecurity and corruption on the roads.

Rwanda currently accounts for less than 4% of transit cargo traffic at Mombasa port while share of Burundi stands at less than 1%. In addition to Taveta, the One Stop Border Posts model consisting officials from two neighbouring countries using one border post office at Busia, Namanga, Isebania and Lunga Lunga. Others are expected to come up at the borders with South Sudan and Ethiopia.

Role of Nairobi Road InfrastructureThe northern by-pass linking Limuru

to Thika road, the Eastern by pass linking Mombasa Road to Thika superhighway and Kiambu road and Southern by pass that run from Kikuyu town to Mombasa Road via Ngong Road have not only reduced congestion in Nairobi and so also opened up Nairobi metropolitan region a fast growing urban population. The three bypasses are part of the Northern corridor road infrastructure development and focus-es on efficiency and ease of movement of

vehicular traffic within and through the metropolitan region. Thika superhighway is then most heavily used urban trans-portation region with 70,000 people using the highway dairy. Nairobi bypass road metropolitan road system has had posi-tive economic urban traffic flow impacts. However, the Northern bypass has nega-tive impact on the environment, wildlife and natural forest vegetation cover in the Nairobi National Park, Jamhuru Park and Karen/Dagoretti areas which undermine flourishing of blue economy.

Strategy, Tact and Focus on Transshipment and Cruise tourism No doubt withdrawal of Uganda, Rwanda and Burundi from Northern Corridor and LAPSSET infrastructure projects means a delay when Kenya and indeed the entire East Africa region will modernize the region’s infrastructure. Kenya will continue to seek cooperation, collaboration and partnership (CCP) in the development of infrastructure that make economic sense when jointly planned, financed and

Arusha, through Kenya or directly through Kilimanjaro International Airport to other parts of Tanzania.

The One Stop Border Post (OSBP) for Taveta-Holili road at Kenya/Tanzania bor-der has improved efficiency by reducing the average time it takes to clear cargo at the

make two mandatory crossings into and out of Uganda, which cause unneces-sary delays and costs.

Construction of the Kitale-Lodwar-South Sudan road remains unrealized due to lack of financiers. The road starts from Lesseru, Kitale Town, Marich Pass, Lodwar and Lokichogio ending at Nadapal on Kenya /South Sudan border. Nadapal is a remote are without settlement that can for now grow into nodal town to host a border post. In spite of these challenges construction of the road to all weather standard remains crucial for opening and sustaining direct transportation of goods and passengers between the two countries. Without the road the 25% of South Sudan’s total imports which are sourced from Kenya and economic and social development opportunity recent discovery of oil resource portends in Kenya and the region as whole will be undermined and remain unrealized, respectively. The government of Kenya secured a credit of $500 million i.e. Sh50 billion from the World Bank in 2015 to construct Lokichar-Nadapal section of the road while the Loichangamatak to Lokichar will be financed by the Government of Kenya.

Kenya has also embarked construction of the Taveta-Voi road in Kenya to link with Holili town in Rombo District of Tanzania to improve road connectivity with Tanzania. Customs and immigration control border points will also be modernized by build-ing One Stop Border Post (OSBP) which is nearing completion. The project will increase the volume of trade cargo handled the port of Mombasa for Tanzania market. This new road joins the Northern Corridor / Standard Gauge Railways at Voi, making the road an important regional road that links Tanzania road and railways system to modernized newly modernized road and railways infrastructure in Kenya.

The movement of people, industrial goods and agricultural produce between Arusha and Kilimanjaro regions and Taveta ad well and well as access the goods which include foodstuffs in Mombasa urban mar-ket. The road is also used by tourists from

border post by 30%. This further reduces transport costs and increase intra-regional trade within East Africa and between the region and external trading economies with the region. Overall, the road project involves the dueling of the section of the road between Sakina and Usa River as well as improvement of Holili road from Usa River to Moshi. On the Kenyan side, the Holili-Taveta-Mwatate Road section is 135 km long up to Holili border post. The Mwatate-Holili section of the road is 86.492 km long; Mwatate to Wundanyi sec-tion is 15.580km and the proposed Taveta bypass is 11.965 km. The overall impor-tance of the new road lies in its strategic role in modernizing road transport between port of Mombasa and Tanzania as well as increasing existing road connectivity from

Kenya has also embarked construction of the Taveta-Voi road in Kenya to link with Holili town in Rombo District of Tanzania to improve road connectivity with Tanzania

A section of the Northern Bypass in Nairobi, economic boom has been experienced in the areas it traverses.Left; construction of a super bridge in the Tsavo section of the standard guage railway.


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Institute of Economic Affairs (IEA)ACK Garden House, 5th Floor, Block D,1st Ngong Avenue, Upper Hill/Community,P.O.BOX 53989 00200, NAIROBI, KENYATel: (+254-20) 2717402, 2721262 Fax: (+254-20) 2716231E-mail: [email protected]: http://www.ieakenya.or.ke

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built. In the case of Northern Corridor and LAPSSET projects there are positive signs that prospects for growth of transshipment and cruise tourism sub-sectors at Mombasa and Lamu ports calls for Kenya to employ four key strategic values the country has in priming her economic growth and develop-ment around ongoing investments the coun-try has decided.

These are: (1) Kenya’s strategic geographic location in the East Africa region, (2) pres-ence of far more established string business culture among its comparatively large pool of motivated and hardworking labour force, (3) a highly educated and skilled middle class work force which is also fast growing and; and (4) enviable capacity in hard and soft infra-structure for information and communication technology (ICT) and growing achievements in high uptake and adaptation of the ICT in the conduct of business transactions and financial services. This does not call to disen-gage from forging regional and bilateral eco-nomic and social development partnerships

within east and central Africa. Kenya merely needs to employ more strategy, tact and focus in engaging regional partners, crafting and implementing economic and social develop-ment programmes and project which cover East and/ or Central Africa region.

The strategy and focus should be trailed into the towns on the LAPSSET corridor, Northern Corridor including along the SGR and in the Nairobi metropolitan region. Urban planning founded on land use plans and strong development control administra-tive and national and county planning laws, and provision of social services and facilities have to inform development management in the towns. In addition to water supply, fibre cable connection, waste collection and disposal; low cost solar energy installations in homes, industries as well as office and commercial buildings should be supported to secure long-term urban energy needs as part of improving standard of leaving and work environment in Northern and LAPSSET Corridor towns.

President Uhuru Kenyatta flanked by EAC Heads of State and Government gives his statement after attending a consultative meeting on the LAPPSET project at State house, Nairobi.

Kenya will continue to seek cooperation, collaboration and partnership (CCP) in the development of infrastructure that make economic sense when jointly planned, financed and built.


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StatuS on development

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» Is Kenya’s quest to address right to access and adequate urban housing space with growing urbanization?

» A call for change in tact, strategy and focus in Kenya’s infrastructure development

» Rising Urbanization and Economic Welfare in Kenya

Published with support from:

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Institute of Economic Affairs (IEA)ACK Garden House, 5th Floor, Block D,1st Ngong Avenue, Upper Hill/Community,P.O.BOX 53989 00200, NAIROBI, KENYATel: (+254-20) 2717402, 2721262 Fax: (+254-20) 2716231E-mail: [email protected]: http://www.ieakenya.or.ke

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Urbanization can thus be seen to be both a blessing and a curse implying that it brings both new opportunities as well as new challenges