| dc.description.abstract | Research and Development (R&D) investment underpins firm innovation and
productivity, providing opportunities for low- and middle-income countries to
converge to high income countries. Recognizing these developmental roles, national,
regional and global policies call for measures to promote R&D investment by private
sector firms as part of the broader development agenda. The private sector is the key
channel for growth of R&D investment, with the government expected to provide
incentives and institutional support. Although manufacturing is a focal policy agenda
for Kenya, its declining productivity and contribution to Gross Domestic Product
(GDP) is a key policy concern. With only 24 per cent of the Kenyan manufacturing
firms reporting to undertake R&D investment (World Bank Enterprise Survey, 2018),
and the aggregate R&D investment for the country estimated at 0.8 per cent of GDP,
falling below the one per cent target set by the African Union Agenda 2063 and 2
per cent target set by the Kenyan government, research on the subject is imperative.
The purpose of this study is to provide insights on institutional context and analyze
the effects of firm-specific and business environment factors on R&D investment
decisions and intensity by Kenyan manufacturing firms. | en |
