POVERTY REDUCTION STRATEGIES: The Kenyan Experience 1.0 INTRODUCTION 1.1 Poverty remains a pervasive national [problem in Kenya today. The Poor in Kenya constitute more that half of the total population. In other words, at least one in every two Kenyans. 1.2 Efforts fighting poverty in Kenya can be traced from Independence. The Sessional Paper No 1 of 1965 detailed the Government commitment to alleviate poverty together with ignorance and disease. This policy has been propagated in policy through long-term strategic plans, sessional papers development plans and other policy documents. 1.3 The Early efforts geared towards poverty reduction included land resettlement programmes, the District Focus For Rural Development Strategy, the social dimensions of development programmes and other targeted initiatives undertaken by NGOs, CBOs, Development Partners and communities. 1.4 That poverty still remains a major problem indicates that poverty alleviation initiatives have not been successful. More and more Kenyans have fallen below the poverty line: NPEP WMS PRSP 1994 1997 2001 46% 52% 56% Number of Poor People 1972-3 3.7 million 1994 11.5 million 2001 15.0 million 1.5 Majority of Kenyans (80%) live in the rural areas; most of the poor people also live in the rural areas. 2.0 IPRSP 2.1 In June 2000 Kenya adopted the interim PRSP. The objectives were to: Facilitate sustained and rapid economic growth Improve governance and security Raise poor people’s ability to earn a living Improve quality life Improve equity and participation 2.2 The IPRSP coincided with the first MTEF budget and formed the basis of the full PRSP 2.3 The IPRSP was prepared with limited consultations and lacked the voices of the poor. There was need therefore to undertake all inclusive and wide ranging consultations to determine the causes, nature and extent of poverty and above all to come up with people driven poverty reduction strategies. 3.0 PRSP 3.1 The PRSP outlines the priorities and measures necessary for poverty reduction and economic growth creation in Kenya. 3.2 Poverty reduction and economic growth creation are mutually reinforcing. Economic growth is good for the poor though not a sufficient condition for poverty reduction. 3.3 As noted earlier, the PRSP builds on the IPRSP and has made deliberate efforts to learn past mistakes in poverty reduction initiatives: Non implementation Inadequate resource allocations Lack of prioritization Lack of participation and involvement of the poor – planning and budgeting for he poor and not with poor 3.4 Years of fighting poverty have resulted in valuable qualitative and quantative data. The PRSP has utilized and have formed the basis for data gaps identification. 3.5 The PRSP consultation process in Kenya was undertaken at the national, district and local levels. In-depth consultations were undertaken through PPA conducted in selected districts and helped to reach the lowest communities. The consultations were enriched by sector working group reports and thematic group reports. 3.6 The principles guiding the PRSP process in Kenya included: Giving a voice o the poor Participation and ownership Transparency, openness and accountability Equitable distribution of national resources and development initiatives 3.7 The causes of poverty in Kenya as revealed through the consultation process are: Low agricultural production and marketing Insecurity Unemployment and low wages Poor governance Landlessness Lack of roads/inadequate roads Cost sharing policies Gender imbalance and vulnerability 3.8 These concerns are now core to the development of a pro poor growth strategy that emphasizes a growth process that directly addresses poverty and leads to sustained poverty reduction. 3.9 Poverty reduction has budgetary implications. Policy implementation costs money. It is therefore to: Link policy, planning and budgeting Achieve quality expenditures (proper planning, clear targets, prioritization, ranking and costing identified priorities) leading to efficiency gains. Harmonization of the financing framework 3.10 The PRSP process has been twined with a pro poor and pro growth MTEF Budget. The three-year rolling budget aims to implement the priorities that improve the quality of expenditures and shift resources towards pro poor activities and programmes. 3.11 Both PRSP and MTEF recognize sector priorities and inter/intra sectoral linkages. 3.12 The success of the PRSP will depend on how well the activities are funded, implemented, monitored and evaluated in a manner that promote the principles of the PRSP process. Development of indicators will be at the core of this process. Past studies and surveys have given us some indicators. These will have to be updated and others developed. 4.0 Challenges 4.1 Stakeholder expectations. There is need to manage these to minimize stakeholder fatigue. 4.2 Resource constraints against to many priorities. This has prompted the government to prepare an action plan detailing what is implementable given available resources. Other stakeholders are being encouraged to prepare action plans. 5.0 Conclusion 5.1 Development is people centred. People are both the key actors and principal beneficiaries of development. Poverty is about people. Poverty reduction will only happen where the people become fully involved. Statistics will remain at the core of the development process; only then can we know whether we are on track in our development process.