Kenya

Based on the principles of the Cotonou Partnership Agreement, the government of Kenya (GoK) and the European Commission (EC) prepared the Country Strategy Paper (CSP) for 2008-2013 under the 10th European Development Fund (EDF) in close consultation with non-State actors (NSAs) and development partners, in particular EU Member States. The CSP is aligned with Kenya’s medium-term objectives and strategies and with the EU’s development policies and priorities and also reflects the objectives of increased regional integration. As far as possible the CSP is harmonised with the response programmes of other development partners, as articulated in the draft Kenya Joint Assistance Strategy (KJAS) to enhance coherence and complementarity, in particular between the Commission’s and the Member States’ external support.

Kenya’s development strategy is articulated in the Investment Programme for Economic Recovery Strategy (IP-ERS), the home-grown version of the Poverty Reduction Strategy Paper (PRSP), and in various related sector strategies and policies. Vision 2030, which builds upon the achievements of the ERS, is built on three pillars – economic growth, equitable social development and strengthened democratic political system. Good fiscal performance, macroeconomic reform and stability, reform of governance institutions and increased fiscal discipline exerted by the Medium-Term Expenditure Framework (MTEF) combined with consultations with stakeholders during the budgeting process have led to a successful recovery of the economy and increased investment in social services which, if sustained, will improve the economic opportunities and well-being of all Kenyans.

The CSP provides a comprehensive and coherent framework for EC-Kenya cooperation in the medium term and, as far as possible, combines all relevant resources and aid instruments. The indicative allocation for programmable resources (A envelope) totals €383m and the B envelope for unforeseen needs is €16.40m.

The response strategy was developed in a highly participatory manner and takes into account the past performance of EC assistance, the views of non-State actors and the findings and recommendations of the evaluation of the CSP for 2003-2007. The proposed support focuses on sector, regional and global strategies developed by the GoK and includes capacity- and institution-building in the public and civic domains. Evaluation and monitoring are based, to the maximum extent, on existing GoK procedures and coordinated between the GoK and the HAC group, which includes Member States.

During preparation of the CSP two focal sectors were identified: Regional economic integration by means of transport infrastructure and agriculture and rural development. Non-focal sectors will support capacity-building for: (i) improving governance and strengthening non-State actors; (ii) economic growth through trade and private sector development. Macroeconomic support lies at the core of the CSP to deepen economic growth within a regional perspective and to support equitable social development. General and sector budget support are the main aid instruments, supplemented by project support where possible under joint financing arrangements with other development partners, in particular Member States.