World Bank has assured Kenya of its continued support as the country strives to become an upper middle-income country, anchored under the Vision 2030 blueprint.
The Group’s board of executive directors sitting in Washington yesterday voiced its support for World Bank’s latest six-year strategy to support the country in its ongoing efforts towards green, resilient, and inclusive development.
The Kenya Country Partnership Framework (CPF) is a joint strategy between the World Bank, the International Finance Cooperation, the Multilateral Investment Guarantee Agency (MIGA) and the government.
It is aimed at promoting shared prosperity and reducing poverty among the population.
Informed by extensive stakeholder consultations, the CPF seeks to drive faster and more equitable labour productivity and income growth, greater equity in development outcomes across the country, and help sustain Kenya’s natural capital for greater climate resilience.
“The people of Kenya are in a position to reap even greater dividends from the country’s robust economic growth in terms of more durable poverty reduction,” Keith Hansen, World Bank Country Director for Kenya.
Tackling the drivers of inequality will help to ensure that Kenya can achieve and maintain more equitable development in the long run, Hansen said.
However, the world bank noted that Kenya’s economy is rebounding from the pandemic and is projected to grow by an average of 5.4 per cent during 2022-24, the ongoing drought and global inflation are causing poverty to rise. The CPF finds that Kenya is still well-positioned to secure more inclusive growth.
The Washington based lender said it is ready to provide the support that targets lagging areas and communities with better services and infrastructure that build household and community resilience.
In doing so, it aims to help Kenya avoid the inequality and productivity traps experienced by other Middle-Income Countries (MICs).
“Kenya’s private sector is poised to drive faster job creation and to seize new opportunities from global and regional integration,” IFC regional director for Kenya Jumoke Jagun-Dokunmu.
This, however, will require a more level playing field for competition and innovation for large and small firms and between public and private enterprises, she notes.
The CPF also aims to help raise the productivity of small firms, small producers, and women entrepreneurs, improve the investment climate across the country, and stimulate more private participation in public service delivery.
To support Kenya’s response to climate change, the CPF has programmed investments to reduce water insecurity and to mobilise more climate finance for both public and private investments.
Read also; World Bank Seeks to Review Financing of Kenyan Healthcare Sector.
