Policy Brief No. 06 of 2006 on Flaws in the Development and Allocation of Jua Kali Sheds and Hawkers Markets in Kenya

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The Kenya Institute for Public Policy Research and Analysis

Abstract

Despite the beneficial role that the Jua Kali sector' plays in providing employment, improving income distribution, and developing dynamic private enterprises, initiatives to support its growth by providing workspaces have fallen below the required levels. Inadequate supply of workspaces for micro and small enterprises (MSEs) and the intensive competition for scarce urban land remains a major hindrance to their productivity, competitiveness and growth. Such scarcity is partly explained by the rapid growth of the informal sector and the absence of effective physical planning.

Description

This policy brief is based on KIPPRA Discussion Paper No.53 on Misallocation of workspaces for MSEs in Kenya: Some lessons and models. The paper is a product of a USA/D-supported project on Enhanced Policy Formulation and Implementation for Micro and Small Enterprises, being implemented by KIPPRA. The aim of the project is to increase the level of adoption of policy recommendations and therefore narrow the gap between policy formulation and implementation.

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Informal sector, Employment creation, Resource allocation, Bad governance

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