Six Major Decision Points for Uhuru Administration

On March 4, 2013 Kenya successfully concluded elections under the new Constitution, ushering in new leadership in a devolved form of government.

President Uhuru Kenyatta and Deputy President William Ruto are faced with the surmountable but difficult task of revamping economic growth and implementing the new supreme law while seeking to deliver on promises made to Kenyans during their campaign.

The new government is faced with a tight resource environment within which to manoeuvre, hence the need to carefully identify priorities that will facilitate the quantum leap of the economy in the next five years, including measures to achieve an appropriate balance between private and public sector investments in the economy. Kenya’s economic performance in the last five years has been on the upswing from its low 2008 performance, but still faces some challenges. In 2010, 2011 and 2012, the economy grew at 5.8 percent, 4.4 percent and 4.5 percent per annum, respectively.

It is projected to grow at an annual rate of 5.1 per cent, 6.0 percent and 7.1 percent in 2013, 2014 and 2015. However, these growth rates remain below the psychological 10 per cent per annum target which is also under the national development blueprint Vision 2030.

As a matter of fact, this administration has promised a double-digit growth rate. Government resources are stretched with a rising wage bill estimated at Sh458 billion, which is about 12 per cent of gross domestic product (GDP).

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