Garissa County Budget Review and Outlook Paper 2021

Abstract

The County Budget Review and Outlook Paper is set against the backdrop of expected global recovery after a slump in 2020 occasioned by the negative effects of the COVID-19 pandemic. The global economy is projected to grow by 6.0 percent in 2021, from a contraction of 3.2 percent in 2020. However, economic prospects vary across countries with the emerging markets and developing economies expected to pick up slowly compared to the advanced economies given different country policy responses to the pandemic. On the domestic scene, economic growth contracted by 0.3 percent in 2020 from 5.0 percent in 2019. In terms of fiscal years, economic growth is estimated at 2.9 percent in FY 2020/21 and is expected to rebound to 5.3 percent in FY 2021/22. The condition in the county has similar trend in which most business facilities have now reopened and local local revenue collection has improved by 50%. Although the effect will have long term effect on the general county operations until the containment measures are completely lifted but still local economy is showing some signs of recovery. But despite the recovery from Covid 19 the weather condition in the Arid regions including Garissa is expected to post major challenge in the local Economy. The president has already declared the drought a national disaster this will slow down development as funds set aside for development might be reallocated for emergency response in order to safe life.