Policy Monitor Supporting Sustainable Development through Research and Capacity Building ISSUE 12 No. 2 Oct - Dec 2020 OPPORTUNITIES AND RESPOCNHDAILNLGE NTOG ECSO VUINDD-19 CRISIS: PERSPECTIVES FROM EDEURC ATION, TRADDEEV,O ALNVDED T HSYES PTEOMLI COYF AND LEGISLAGTOIVVEE RENMVIERNOTNMENT IN KENYA Issue 12, No. 2 | Oct - Dec. 2020 1 Contents POLICY Monitor EDITORIAL TEAM 1. Charity Mbaka 2. Hellen Chemnyongoi 3. Jane Kenda 4. Mutuku Muleli 4 Recent Economic Developments 5. Nahashon Mwongera 6. Rodgers Musamali 11 Operationalization of the African Continental CONTRIBUTORS Free Trade Area (AfCFTA): Opportunities and Challenges 1. Benson Kiriga 2. Daniel Omanyo 3. Eldah Onsomu 16 Assessing the Effectiveness of e-learning Pro-4. Elton Khaemba grammes during COVID-19 Era 5. Haron Ng'eno 6. Hellen Chemnyongoi 7. James Ochieng’ 8. John Karanja 9. Paul Lutta 10. Paul Odhiambo 11. Shadrack Mwatu 12. Violet Kwamboka DESIGN & LAYOUT Pixellent Creatives Ltd. VISION An international centre of excellence in public policy research and analysis 23 Taking Stock of Measures Implemented in Containing COVID-19 and its Effects MISSION To provide quality public policy advice to the Government of Kenya by conducting 48 KIPPRA News objective research and analysis and through capacity building in order to contribute to the achievement of national development goals 2 Oct - Dec. 2020 |Issue 12, No. 2 Editorial Welcome to the KIPPRA Policy of the County COVID-19 socio-economic Monitor, the October-December re-engineering recovery strategy; County 2020 Issue. The theme of this Issue is on-job-support workshops on children, “Responding to COVID-19 Crisis: Perspectives women, youth, PWDs and gender-sensitive from the Education, Trade, and Policy and planning and budgeting; commemoration Legislative Environment in Kenya”. This is a of the World AIDS Day; and KIPPRA continuation of our discussions on COVID-19, participation in various think tanks’ which has had significant implications summits. on various sectors of the economy. This Issue features three key articles, namely: Finally, the Policy Monitor provides key Operationalization of the African Continental highlights of policy news at domestic, Free Trade Area (AfCFTA): Opportunities regional and international levels; and and challenges; Assessing effectiveness of legislative developments at the National e-learning programmes during the COVID-19 Assembly and the Senate, and concludes era; and Stock taking on measures taken to with upcoming KIPPRA events. contain COVID-19 and its effects. On behalf of the KIPPRA fraternity, we As always, the Policy Monitor discusses hope you will be informed as you read this recent economic developments, which show edition. an anticipated rebound of economic activities following the relaxation of containment measures in the re-opening of the economy. Happy 2021! Moreover, this Issue covers various activities and events undertaken by the Institute during the quarter. The key highlights include a two-day researchers’ workshop organized by KIPPRA; Induction of new board members; Graduation of the 17th Cohort of the KIPPRA Young Professionals programme; launch Issue 12, No. 2 | Oct - Dec. 2020 3 Recent Economic Developments By Benson Kiriga, Hellen Chemnyongoi, Daniel Omanyo, and James Ochieng’ This article analyzes the country’s recent The resilience in sectors such as ICT, agriculture, and economic developments with a focus on recovery in manufacturing and exports is expected four key areas: the growth of economic to counterbalance the adverse effects of COVID-19 activities, monetary and financial policy, fiscal pandemic on services sectors including education, developments, and the external sector. transport and accommodation. Restaurant and flower businesses that had largely closed or scaled Growth of economic activities down were able to resume business operations in A rebound of economic activity was expected the fourth quarter. The volume of flower exports in the fourth quarter (October-December normalized due to the impetus boosted by the 2020) following the relaxation of containment marked growth of 4.8 per cent between July and measures on 27th September 2020 that saw October 2020, compared to the same period in the re-opening of the economy. The Private 2019. However, slow recovery in sectors such as Sector Market Perception Survey conducted transport and tourism, and a potential COVID-19 by the Monetary Policy Committee of Central second wave remained a risk to normalization of Bank of Kenya in November 2020 showed that economic activity. expectations from the banking and non-banking Disruptions to economic activity caused by the private sector firms for the fourth quarter were COVID-19 pandemic saw a rise in unemployment quite positive, especially for the agricultural especially with businesses closing and reduced sector which continued to enjoy good weather working hours as a result of the containment conditions, and for the economy in general due to measures executed by the Government. Data the return of business confidence and resumption from the Kenya National Bureau of Statistics of international travel. 4 Oct - Dec. 2020 |Issue 12, No. 2 (KNBS) Quarterly Labour Force Survey shows that several food items, which outweighed decreases there was a 5.2 per cent rise in unemployment in prices of others. Specifically, the prices of in 2020. The demographic analysis shows that carrots, mutton, and wheat flour increased individuals aged between 20 and 29 years suffered by 0.92, 0.82, and 0.80 per cent, respectively, the heaviest losses in employment, accounting in October compared to September 2020 and for approximately 22.2 per cent of unemployed prices of beef, wheat flour and tomatoes rose persons. by 0.99, 0.69 and 0.66 per cent, respectively, in November compared to October 2020. During the The overall inflation rate for October to December festive season (December), the prices of spinach, 2020 averaged 5.2 per cent compared to 5.4 per oranges, kales, wheat flour(white) and carrots cent during the same months in 2019 and 4.3 per registered significant increases by 8.09, 6.18, 5.6, cent in July-September Quarter 2020. The inflation 4.75 and 4.30 per cent, respectively, compared to during the quarter maintained an increasing trend November 2020. Fuel inflation remained elevated, as shown in Figure 1 largely driven by rise in food averaging 11.5 per cent in October-December and fuel inflation owing to increasing demands quarter compared to 10.1 per cent realized during (food items and travels across the country) during the July-September quarter, 2020. The rise led the festive season. Food inflation rose from 5.2 per to an increase in transport index by 1.15 per cent cent in September to 5.8 per cent in October, and during the same period as the country experienced further to 6.1 per cent in November. In December, a surge in travelling to various destinations over food inflation rose to 7.2 per cent largely driven by the festive period. increase in food prices during the festive season. The overall rise in food inflation was attributed to the net effect of an increase in prices of Figure 1: Inflation rates (January 2019 to December 2020) 14 7 12 6 10 5 8 7.2 4 6 3 4 2 2 1 0 0 Food Inflation Energy Inflation Core Inflation Inflation rate Source of data: Kenya National Bureau of Statistics and Central Bank of Kenya (weekly bulleting 31st December 2020 issue) Issue 12, No. 2 | Oct - Dec. 2020 5 Jan-19 Feb-19 Mar-19 Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Monetary and financial Policy The ratio of non-performing loans (NPLs) to gross loans remained stable during the quarter. NPLs An accommodative monetary policy stance rose in sectors such as restaurants and hotels, adopted at the beginning of the pandemic was transport and communication, real estate, and maintained. During the Monetary Policy Committee tourism but recovery in other sectors such as trade (MPC) meeting held on 26th November, the Central and manufacturing helped offset the rise. Despite Bank Rate (CBR) was retained at 7.00 per cent. This the rise, the banking sector remained resilient is expected to support the recovery of economic during the quarter, with the ratio of gross NPLs to activity while maintaining macroeconomic gross loans being 13.6 per cent in October 2020, a stability. The interbank rate remained stable, similar ratio to what was realized in August 2020. averaging 3.68 per cent during the quarter, which Restructuring of loans amounting to Ksh 1.38 is a slight increase from an average of 2.54 per trillion was done to provide relief to borrowers cent registered during the July-September 2020 during the quarter. As a result, household and quarter. Similarly, yields on Government securities personal loans amounting to Ksh 303.1 billion had have been stable at an average rate of 6.70 per the settlement period extended to cushion the cent during the quarter for the 91-day treasury citizens during the COVID-19 pandemic period. bill. This reflected an increase of 7.37 percentage points compared to an average of 6.24 per cent Emergency measures such as the scrapping of attained during the July-September 2020 quarter. transactional charges for mobile money transfers below Ksh 1,000 and transfers for bank accounts The banking sector remained stable and resilient and bank wallets were retained to encourage the with strong liquidity and capital adequacy ratios. use of digital finance and applied till 31st December Growth in private sector credit stood at 7.7 per 2020. However, the suspension of the listing of cent in October compared to an average of 7.9 negative credit information for borrowers by per cent in the July-September 2020. This was an Credit Reference Bureaus (CRBs), which had been increase by 0.1 per cent relative to 7.6 per cent enforced by the CBK on 14th April 2020, expired registered in September 2020. The performance on 30th September 2020. Subsequently, financial was supported by a recovery in demand associated institutions began the assessment of all loans that with improved economic activity following the were performing before 1st April 2020. This meant easing of COVID-19 containment measures. that financial institutions would be able to list Going forward, operationalization of the Credit borrowers of unregularized non-performing loans Guarantee Scheme for the vulnerable Micro, Small with CRBs as of the end of December 2020. and Medium Enterprises (MSMEs) intended to de-risk lending by commercial banks is expected to increase private sector credit. The Government, through the National Treasury signed the credit guarantee scheme agreement with seven (7) participating commercial banks on 8th December 2020. Growth in private Further, there was an increased uptake of the funds “sector credit stood at intended to support lending during the quarter compared to the last quarter. The uptake of the 7.7 per cent in October Ksh 35.2 billion released by the lowering of the Cash Reserve Ratio (CRR) increased by 0.6 per cent compared to an from Ksh 32.4 billion registered in the last quarter to Ksh 32.6 billion realized during the quarter. The average of 7.9 per cent funds were mainly used to support lending to in the July-September tourism, trade, transport and communication, real estate, manufacturing and agriculture sectors. 2020. 6 Oct - Dec. 2020 |Issue 12, No. 2 “ Fiscal developments The sharp decline in total revenue collection was mainly pronounced by the slowed performance At the closure of the first quarter of 2020/21, the of tax revenue, which declined from Ksh 371,541.8 cumulative amount of total revenue was Ksh million in the first quarter of 2019/20 to Ksh 375,548.4 million compared to Ksh 421,158.9 316,774.2 million in the same quarter in 2020/21, million collected over the same period in 2019/20. representing Ksh 54,677.6 million decline. This represents a 10.8 per cent decline in total revenue collection, with a slowdown in economic All tax heads slowed compared to the same period activity following the outbreak of COVID-19 and the in 2019/20, save for receipts from other income relaxed tax measures to cushion the public from that registered an increase of 25.7 per cent as the ravaging economic effects of the pandemic. presented in Figure 3. VAT and income tax suffered Figure 2: Performance of total revenue receipts in 2019 and 2020 421,158.9 371,451.8 375,548.4 316,774.2 49,707.1 58,774.2 Q1 2019/20 Q1 2020/21 Tax revenue Non-tax revenue Total revenue Data Source: Central Bank of Kenya Figure 3: Actual 1st quarter tax revenues and variance from previous year -10.0% -4.8% -16.3% -21.5% 25.7% 151,247.8 83,062.4 47,353.8 23,167.3 11,942.8 Import Duty Excise Tax Income Tax VAT Other Income Source: Kenya Gazette Notices (Various) Issue 12, No. 2 | Oct - Dec. 2020 7 Total Revenue Ksh. Millions the largest decline of 21.5 per cent and 16.3 per a look at revenue performance against the targets cent, respectively. This was on account of the shows that all tax heads suffered shortfalls save for fiscal measures put in place by the Government investment revenue. This was mainly occasioned during the period, which included reduction of by the pandemic situation that disrupted supply VAT on most goods and services from 16.0 per chains of good and services, resulting in reduction cent to 14.0 per cent; 100 per cent tax relief for in trade activities thus the accompanying revenue. persons earning gross monthly income of up to Similarly, tax measures to cushion workers and the Ksh 24,000; reduction of resident Personal Income massive job losses resulted into PAYE shortfalls. Tax Rate (Pay-As-You-Earn) top rate from 30.0 per cent to 25.0 per cent; reduction in corporate tax The total expenditure during the period under from 30.0 per cent to 25.0 per cent for residents review amounted to Ksh 515,526.8 million and reduction in turnover tax from 3.0 per cent compared to Ksh 544,625.8 million recorded in to 1.0 per cent with taxable turnover thresholds the same period during 2019/20. The resultant increased from an income of between Ksh 1.0 slowed spending was mainly attributed to lower million to Ksh 50.0 million for MSMEs. Additionally, absorption recorded in expenditures by the National Government and below target transfers Figure 4: Actual versus target revenue performance for 1st quarter 2020/21 Source: Kenya Gazette Notices (Various) Table1: Recurrent and development expenditure 2019/20 and 2020/21 (Ksh millions) Domestic Foreign Wages & Pensions Other Total County Development Total Interest Interest Salaries Recurrent Transfer expenditure Jul-19 28,746.2 15,116.6 38,340.0 3,146.9 22,892.7 108,242.5 - 4,732.1 112,974.7 Aug-19 50,369.8 25,533.6 76,680.1 6,534.9 78,731.3 237,849.6 - 17,036.4 254,886.0 Sep-19 76,250.0 34,162.9 109,719.5 26,258.6 144,792.4 391,183.3 57,542.1 95,900.5 544,625.8 Jul-20 27,700.8 15,028.7 26,361.1 3,967.5 15,657.4 88,715.4 908.0 4,583.7 94,207.1 Aug-20 56,781.0 30,339.0 75,222.2 13,578.9 75,706.2 251,627.5 28,021.6 54,222.4 333,871.5 Sep-20 81,032.8 34,133.5 124,083.4 21,092.9 113,900.2 374,242.8 28,838.9 112,445.1 515,526.8 Data Source: Central Bank of Kenya 8 Oct - Dec. 2020 |Issue 12, No. 2 exchanged at an average (period average) of Ksh 108.64, Ksh 127.85 and Ksh 140.94 against the US “ Dollar, Euro and the Sterling Pound, respectively. At the closure of the This shifted to an average of Ksh 110.59, Ksh 134.33 and Ksh 148.42 against the US Dollar, Euro and first quarter of 2020/21, the Sterling Pound, respectively, in December 2020, reflecting a depreciation rate of 1.8, 5.0 the cumulative amount and 5.2 per cent, respectively, against the three of total revenue currencies. This implies that the depreciation rate was relatively higher against the Sterling pound was Ksh 375,548.4 between October and December 2020. million compared to Foreign exchange reserves remained within the statutory requirements. The reserves stood at Ksh 421,158.9 million US$ 8,277.3 million (5.0 months of import cover) in October 2020 and US$ 7,835.6 million (4.8 months collected over the same of import cover) in December 2020. However, there period in 2019/20. has been a consistent decline in foreign reserves from US$ 9,606.50 million in July 2020 to US$ in September 2020 and further to US$ 7,835.6 million as of December 2020. These figures translate to a depletion of the import cover from 5 months as at October 2020 to 4.8 months in December 2020. to counties due to the prolonged deliberations in Parliament on the revenue sharing formula. Total diaspora remittances increased by 7.54 per Recurrent expenditure amounted to Ksh 374,242.8 cent from US$ 754,912 million in the second quarter million compared to Ksh 391,183.3 million in quarter of 2020 to US$ 811,799 in the third quarter of 2020. one of 2019/20 (Table 1). This was mainly driven by increased inflows from North America that recorded a 12.92 per cent The under expenditure in recurrent category was growth in the same period. Remittances from mainly due to slackened expenditure on operation North America make up more than 50 per cent of and maintenance, attributed to scaled down the total remittances, on average. During the same operations of the Government due to COVID-19 period, diaspora remittances from Europe grew pandemic. Development expenditure improved by 10.94 per cent. However, there was a decline from Ksh 95,900.5 million in the first quarter of in remittances from the rest of the world by 4.34 2019/20 to Ksh 112,445.1 million in 2020/21. This per cent, from US$ 221,556 million in the second improvement was attributable to increased quarter of 2020 to US$ 211,949 million in the third Government efforts in investing in the health quarter of 2020. sector and related sectors in a bid to improve the country’s level of preparedness in the fight against The total value of exports in Kenya increased by the novel coronavirus. Foreign interest payments 17.41 per cent from Ksh 138.46 billion in the second during the quarter amounted to Ksh 34,133.5 quarter of 2020 to Ksh 162.57 billion in the third million, a decrease compared to Ksh 34,162.9 quarter of 2020. This was mainly driven by increase million over the same period in 2019/20. The in the value of horticultural exports by 11.89 per domestic interest payments totalled Ksh 81,032.8 cent in a similar period. The growth was also million, which was higher than the Ksh 76,250.0 reflected in an increase in the value of domestic million paid in the corresponding period in the exports and re-exports by 13.18 and 64.30 per previous financial year. cent, respectively, in the same period. However, the value of coffee and tea exports dropped by External sector 35.26 and 12.34 per cent, respectively, between the second and third quarters of 2020. The decline Between October 2020 and December 2020, the in the value of coffee and tea exports was as result Kenya Shilling depreciated against three major of a decrease in the quantity of exports for the currencies: the US Dollar, Euro, and the Sterling two products during the period under review. Pound. In October 2020, the Kenya Shilling Issue 12, No. 2 | Oct - Dec. 2020 9 “ The coffee volume sale improved in the month of compared to 36,554.2 in July 2020. However, the September 2020 to 1,912.6 metric tonnes from a two months registered the lowest production in low volume of 1,310.4 in July 2020, and the trend the year 2020. The levels of coffee and tea outputs is expected to continue in the remaining part of have a significant contribution to total agricultural the year. Tea production recovered in the month sector output. of September 2020 at 43,412.7 metric tonnes 10 Oct - Dec. 2020 |Issue 12, No. 2 Operationalization of the African Continental Free Trade Area (AfCFTA): Opportunities and Challenges By John Karanja, Shadrack Mwatu and Paul Odhiambo In 2013, the African Union (AU) launched Trading under the framework was due to Agenda 2063, themed the ‘Africa We Want’ commence on 1st July 2020 but was postponed in Kigali. One of the flagship projects was the due to the outbreak of the Coronavirus establishment of an African Continental Free pandemic. The postponement has had Trade Area (AfCFTA). The negotiated free adverse impact on talks on various phases trade area framework entered into force in of the implementation of the agreement. May 2019 and was launched in July 2019. It is Particularly, talks on phase 1 that include rules the largest free trade area globally, with 54 of origin and trade in services, and phase out of 55 AU member states. AfCFTA creates 2 which covers investment in intellectual a market for goods and services for 1.2 billion property and competition were delayed due people with an aggregate GDP of about US$ to the pandemic. 2.5 trillion. AfCFTA is expected to increase the current intra-African trade from 18 per cent to To ameliorate against the negative effect of the 50 per cent in total trade volumes by 2030. COVID-19 pandemic on the operationalization of the Africa Continental Free Trade Area It is intended that 90 per cent of the tariff (AfCFTA), mechanisms have been put in place lines will be fully liberalized once the to support the operationalization. An online AfCFTA is operationalized. This will also platform to monitor and eliminate non-tariff include mechanisms for dispute resolution, barriers has, for instance, been created. agreement on competition policy, investment, Further, the African Union and the African and intellectual property rights. The remaining Export-Import Bank have collaborated to 10 per cent of the tariff lines will constitute develop the Pan-African Payment Settlement sensitive products where 7 per cent will be System (PAPSS), a platform that is expected partially liberalized, and 3 per cent completely to support payment of intra-African trades in excluded from liberalization. local currency. The Afreximbank has also set Issue 12, No. 2 | Oct - Dec. 2020 11 up the AfCFTA Adjustment Facility to support attract foreign direct investment, technology member countries to adjust to the new trade and knowledge transfer that will boost regime and immense losses in tariff revenue production capacity for trade development. due to operationalization of the agreement. Under the facility, governments will be Out of 2,862 possible combinations of supported through supplemental financing, bilateral trade relationships between Africa’s continued trade facilitation and investment 55 national markets, only 29 per cent are programmes, and meet fiscal obligations as under a form of a free trade relationship. The economies adjust to the AfCFTA reforms. majority, therefore, are governed by general trade protocols or most-favoured nation Opportunities rates, which are higher than under a free trade framework. The removal of tariffs on majority In 2019, the entire African market was US$ of goods is therefore expected to create huge 568.4 billion. In total, Kenya exported US$ opportunities for existing trade relationships 2.7 billion worth of goods and services to EAC to grow and new ones to materialize, leading (US$ 1.3 billion) and COMESA (US$ 1.4 billion) to economic transformation. The framework in the same year. The size of the African is also expected to support development of market beyond EAC and COMESA is US$ 565.7 regional value chains that will further boost billion (99.53%). Of the total African market, intra-African trade that is expected to more more than US$ 84 billion is comprised of than double in the first decade of AfCFTA’s intra-African market with untapped export operationalization. potential. If tapped, it would take the total intra-African trade to more than US$ 231 billion. A single market will be created through The untapped potential is domesticated in trade liberalization and will improve trade sectors that have proven to be internationally flows, diversify export of goods and services, competitive and that bear good prospects enhance consumer choice, and strengthen for export success in other African markets. economic integration within the continent. Kenyan products with the highest export In effect, the trade agreement will improve potential under the AfCFTA include mineral cross-border mobility of capital and labour and commodities especially iron, steel, mineral enhance investment competitiveness both fuels, mineral oils, salt, sulphur, earths and nationally and continentally. The agreement stone, plastering materials, lime and cement, further serves as an important precursor to bituminous substances, and products of the eventual establishment of a continental their distillation, machinery, food products, customs union. motor vehicles and parts, plastics and rubber, services, chemical products, pharmaceutical It is also projected that the considerable products, sugars and sugar confectionary, tariff reduction will reduce import prices and tobacco and manufactured tobacco enhance purchasing ability of consumers. substitutes, and value added agricultural Consumers will have access to a greater range products especially coffee, tea, mate, spices, of products, and more firms, especially SMEs animal and vegetable fats and oils. Across the will be able to engage in cross-border trade due continent, the bulk of the untapped export to a reduction in trade costs. Consequently, market potential is concentrated in Southern there will be more welfare gains in the form Africa (US$ 53 billion) followed by North Africa of consumer surpluses in importing countries. (US$ 13.4 billion), West Africa (US$ 9.5 billion), Due to reduced import prices, which might East Africa (US$ 7.8 billion), and Central Africa lower the cost of imported raw materials (US$ 840 million). and intermediate goods, there will be a trade creation effect associated with reduction in AfCFTA aims at addressing the tariff and cost of production. The cuts in production non-tariff barriers that constrain intra-African cost will enhance the competitiveness of trade. This is expected to create an enabling domestic output and facilitate the integration environment for trade within the region to of member states, including Kenya, to the 12 Oct - Dec. 2020 |Issue 12, No. 2 continental value chains. With access to a larger market in place, firms will expand production, gain from economies of scale, and realize long-term sustainability from enhanced access to finance and technology. Through In 2019....Kenya exported the AfCFTA, the pursuit for attainment of sustainable and inclusive socio-economic “US$ 2.7 billion worth of development and gender equality in the goods and services to region will also be promoted. EAC (US$ 1.3 billion) and The committed political support from African heads of states indicates that AfCFTA COMESA (US$ 1.4 billion) provides a more integrated Africa in a bid to ease movement and trade, which will contribute to strengthening African unity and allow Africans to proffer solutions to African problems. This support has resulted in the launch of single air transport by the Heads of States and Government of the AU during despite both countries being members of the the 30th Ordinary Session of Assembly held in Common Market for Eastern and Southern January 2018 in Addis Ababa, Ethiopia to boost Africa (COMESA). This has been attributed connectivity and cut travel costs across the to the fact that Ethiopia retains a fairly continent, though the onset of the COVID-19 protectionist tariff policy with high tariffs pandemic and the resultant restrictions in compared to Kenya’s liberalized tariff regime. both continental and global air transport has With the operationalization of AfCFTA, it constrained its operationalization. is expected that the existing impediments However, cognizant of freer intra-African to cross border trade will be eased. Since mobility of goods and people, the launch the AfCFTA aspires to eliminate barriers to of an AU passport will potentially eliminate trade, Kenya should consider engaging other restrictions on inter-regional travel, African countries to ensure non-tariff barriers especially among the countries that require are significantly reduced to unlock the market a visa for entry, such as Nigeria and South opportunities within the continent. Africa. Countries such as Kenya and South Challenges and possible solutions Africa stand to benefit a lot due to their larger manufacturing bases (11% and 14% of The tariff reduction proposed through AfCFTA GDP, respectively), better road networks may result in shrinkage in Government (177,800km and 754,600km, respectively), revenue. This could affect Government railways (2,066km and 30,400km, capacity to invest in infrastructure, education respectively) and ports (31.5 million and 80 and other social programmes that are crucial million tons annually, respectively), while for attaining sustainable development small economies may encounter significant and alleviating inequalities in developing fiscal revenue shortfalls and competition to countries. Importantly, trade liberalization local industries. on its own may not lead to poverty reduction in the absence of established financial More importantly, the AfCFTA will unlock sectors, growing education levels and robust deteriorating markets such as Kenya’s and governance structures. Ethiopia’s, which are the two largest Eastern Africa economies. For the last three years, It is worth noting that political and economic 2017-2019, trade volumes of Kenya-Ethiopia efforts are important in providing social exports have dropped with a margin of 5 per security should the AfCFTA have adverse cent and trade has remained exceedingly low Issue 12, No. 2 | Oct - Dec. 2020 13 “ effects such as loss of jobs, tariff revenues Effective operationalization of AfCFTA for and livelihoods, especially in the agricultural a sustainable future for Kenya and the sector. Furthermore, tariffs are a significant African continent as envisioned in AU’s source of revenue for many governments and Agenda 2063 highly depends on coherent are used to protect domestic industries, which and complementary policies and strategies. will require countries to adjust as may be At the national level, governments need necessary. For Kenya, investing in agro-value to develop policies that target vulnerable addition and providing targeted incentives to groups such as women, youth and persons sectors producing frontier products, sectors living with disabilities to ensure an inclusive with highest total factor productivity, and implementation of the trade agreement. In sectors with highest comparative advantage particular, encouraging the development could avail options for compensation of lost of inclusive trade policies and practices that tariff revenue. support women and minority groups who still face barriers in accessing trade opportunities Further, ownership and participation might could prevent further marginalization. be a major challenge in operationalization of AfCFTA beyond the commitment and political More emphasis should be on training determination by the African heads of states. programmes to facilitate a smooth For local ownership and sustainability, the reallocation of labour to sectors that are involvement of the private sector, banking, more likely to grow. For Kenya, training and local manufacturing sectors, small and capacity building programmes should target medium cross-border traders, academia, civil manufacturing sectors, especially textiles and society groups and media is vital. Undertaking apparel. More importantly, Kenya needs to research on the specific opportunities that embrace a strategic approach to fostering her come with AfCFTA, undertaking capacity diplomatic relations with African countries, building and creating awareness through especially the largest economies such as public-private partnerships could enhance Egypt, South Africa, and Nigeria. Boosting operationalization of the trade framework. diplomatic relations with EAC partner states, Indeed, consultation, awareness creation, especially Tanzania and Uganda, could also public participation in making key policy improve Kenya’s exports to the region. This decisions regarding intra-African trade under could support the realization of the country’s AfCFTA, and creating a framework that export-led growth enshrined in the 2017 ensures the exchange of feedback between National Trade Policy. traders and government policy makers could further ensure non-tariff barriers are detected To ensure Kenyan firms have access to early enough before they adversely affect relevant and timely information that links cross-border trade. them to available trade opportunities in the market created by AfCFTA, Kenya should The harmonization of heterogeneous consider reviewing the 2012 Micro and Small economies under one market will also pose a Enterprises Act to require firms to have major challenge in the operationalization of formal membership with the Micro and Small AfCFTA. It is important to note that majority of Enterprises Authority for enhanced access to African countries are distinct in development information on available trade opportunities and the necessary asymmetry should be across the wider AfCFTA market. exercised while formulating and establishing regulations. It is important to ensure that Further, firms need to be encouraged to concerns of the weaker economies are join sector-specific trade associations and addressed in the agreement and that specific chambers of commerce. The private sector measures are implemented to ensure could support the government in undertaking inclusiveness in accessing the AfCFTA market. capacity building to Kenyan firms on policy and legislative requirements to access various 14 Oct - Dec. 2020 |Issue 12, No. 2 markets. Importantly, harmonization of rules persons living with disabilities could unlock of origin and unification of certificates of opportunities to groups that have traditionally origin could further support realization of been marginalized, and thus foster alleviation Kenya’s export-led growth. of poverty and inequality. Capacity building through training programmes could support For Kenya, further improvement in ease of smooth reallocation of labour to sectors doing business; efficiency in institutional and with highest growth potential, especially regulatory framework, especially on property those in textiles and apparel. Reviewing the rights; specific focus on the country’s frontier 2012 MSE Act to require firms to have formal sectors and those with highest total factor membership with MSEA could build social productivity; and investment in research and capital that links traders to information on development could enhance the country’s available trade opportunities. Improving ease export potential under AfCFTA. Mainstreaming of doing business, efficiency in institutional gender in trade policy, improving the region’s and regulatory framework, and focus on transport network, and enhancing diplomatic frontier sectors and investment in research ties could enhance market access under the and development could enhance the country’s agreement. export potential. Finally, fostering diplomatic Conclusion and Policy Recommendations relations with the largest economies in the continent, such as Egypt, South Africa, and The effective operationalization of Nigeria could provide a much-needed political AfCFTA highly depends on coherent and goodwill in eradicating non-tariff barriers to complementary policies and strategies. Kenyan exports. Policies that target women, youth and Issue 12, No. 2 | Oct - Dec. 2020 15 Assessing the Effectiveness of e-learning Programmes during COVID-19 Era Eldah Onsomu, Violet Kwamboka, Elton Khaemba and Haron Ng'eno With the COVID-19 pandemic, Kenya like Learning continued in most developed countries many other countries across the globe through digital platforms. E-learning, a teaching was forced to close learning institutions system based on use of electronic devices used both as a part of the containment measures to curb in and out of classroom, has been widely adopted to the spread of COVID-19. Over three quarters of ensure continued learning. The use of the Internet, the year 2020 the global student population were electronic devices such as personal computer, severely impacted by these measures with about 15 television, radio and smart phones form part of million (14.3%) from Kenya (UNESCO, 2020¹). Kenya the requirement for effective e-learning. Kenya announced the closure of all learning institutions has also tapped into its technological prowess and on 15th March 2020. innovativeness to ensure continued learning at all levels of the sector. This has seen different forms 1 UNESCO. (2020a). "290 Million Students out of School due to COVID-19: UNESCO releases first global numbers and mobilizes response": Retrieved from https://en-unesco.org/news UNESCO. 16 Oct - Dec. 2020 |Issue 12, No. 2 image: Freepik.com of e-learning techniques and collaborations, such primary and secondary levels, educators are as use of education media platforms, radio and grappling with the reality of inadequate computer scheduled televised educational materials being literacy skills, inadequate ICT infrastructure, employed to ensure continuity in learning. unreliable supply of electricity and poor network coverage, which are familiar with their local Learners and instructors in Kenya at various contexts. Cutting across, disparities in internet levels of education are now able to use the access characterized by poor network coverage different platforms for online learning. Some of across the country, high poverty levels, and these platforms are Google meet, Zoom, Skype, reduced household income in the face of the You Tube, WhatsApp, radio and television. The pandemic have led to disparities in access to online platforms have made learning more interesting educational content. A United Nations Children’s and attractive to both learners and teachers Fund² report shows that about 50 per cent of who are able to access the devices and content. children in East and Southern Africa are unable to The country has seen an increase in educational access e-learning, and the youngest of the pool are materials being posted online. For instance, the most affected. teachers and other stakeholders in the education sector have created instructional content using Access to infrastructure videos that are being aired on TV, radio and posted on YouTube and in WhatsApp groups to assist with Even though social and economic development online learning. Both public and private companies of the 21st Century is expected to take advantage have also developed learning applications with of ICT, one limiting factor is the initial investment content that is user friendly to learners. and basic infrastructure such as electricity and telephone services and initial equipment such as While some of the institutions are technologically computers and computer accessories. prepared to embrace e-learning, majority of the learning institutions, especially in rural areas, were According to the Kenya Population Household unprepared for digital learning. In the pre-primary, Survey report 2019, the share of households with Figure 5: Access to Internet by county 45 40 35 30 25 20 15 10 5 0 Source: Kenya Population Household Survey, 2019 2 https://www.unicef.org/press-releases/covid-19-least-third-worlds-schoolchildren-unable-access-remote-learning-during Issue 12, No. 2 | Oct - Dec. 2020 17 Percent Mandera 3.5 Wajir 3.5 West Pokot 3.5 Marsabit 4.4 Turkana 4.4 Elgeyo/Marakwet 5.0 Tana River 5.5 Garissa 6.3 Kitui 6.8 Samburu 6.8 Narok 6.9 Bungoma 7.2 Nyamira 7.3 Busia 7.4 Bomet 8.0 Baringo 8.2 Homa Bay 8.2 Siaya 8.3 Kakamega 8.6 Kisii 8.8 Nandi 8.8 Vihiga 8.8 Isiolo 8.9 Migori 9.1 Makueni 9.4 Kwale 9.8 Meru 10.2 Kericho 11.1 Tharaka-Nithi 11.5 Kilifi 11.6 Lamu 11.8 Murang'a 11.9 National 12.3 Nyandarua 12.4 Kirinyaga 13.6 Embu 14.7 Trans Nzoia 15.4 Taita/Taveta 15.9 Laikipia 17.5 Machakos 17.6 Kisumu 20.0 Uasin Gishu 20.4 Nakuru 20.9 Nyeri 21.2 Mombasa 28.2 Kajiado 29.1 Kiambu 39.1 Nairobi City 42.1 internet connection is about 12 per cent, including Although 91 per cent of schools have access to the use of mobile phone internet and other internet the digital learning programme, schools in Kenya service providers (Figure 4). This translates to are still experiencing challenges of inadequate approximately 9 in 10 households with no access access to ICT infrastructure. Had it been fully to online resources for education. implemented, the Digital Literacy Project launched in 2013 would have benefited about 23,951 public These disparities can be seen in the urban and primary schools in Kenya with a total of 10.2 rural areas, where in more urbanized counties million learners with digital devices. However, such as Nairobi, Kiambu, Kajiado, Mombasa, Nyeri according to the National ICT Report 2019, only and Nakuru, learners were able to access basic 9 in every 10 public primary schools have been education due to high access to ICT infrastructure connected to digital learning devices (Figure 6). (Figure 4) compared to other counties that have Some other infrastructural projects have been limited access to basic infrastructure. Further, introduced recently, including the construction e-learning has been largely utilized in private of computer laboratories for public secondary schools, which are well equipped with most schools countrywide. The last mile connectivity components for e-learning whereas learners in has covered at least 3 in 4 households in Kenya some public schools continue to miss-out on (World Bank, 2018) but learners and teachers are learning. affected by unstable power supply. However, for Further, the survey showed that more than half effective e-learning, learners needed to have been (54%) of the households have radios and more than issued with the tablets for use while at home, but 1 in 3 (32%) households have functional TVs (Figure this was not the case. Most digital learning devices 5). This implies that half of the households have no are only accessed by learners while in school. access to digital devices that could enable them Regardless of the various technologies used in access e-learning materials and lessons. The survey dissemination of educational materials, electricity shows that most access is exhibited in urban areas plays a key role in all this. At the national level, whereas the rural regions of the country have the about 50 per cent of the households have access least access to stand alone radios. to electricity while majority of the counties, which have a low access to electricity, are in the Figure 6: Access to stand alone radio by county 100 80 60 40 20 0 Kenya Population Household Survey, 2019 18 Oct - Dec. 2020 |Issue 12, No. 2 Percent Marsabit 27.8 Tana River 28.4 Samburu 29.4 West Pokot 33.8 Lamu 37.3 Kilifi 37.8 Isiolo 39.1 Kwale 42.6 Mandera 45.0 Mombasa 47.4 Garissa 47.8 Baringo 51.8 Elgeyo/Mara… 52.7 Meru 53.4 Nairobi City 53.4 National 54.2 Wajir 54.2 Busia 54.5 Kajiado 55.0 Kitui 55.1 Trans Nzoia 55.1 Taita/Taveta 55.9 Tharaka-Nithi 58.4 Kisii 58.5 Narok 59.0 Migori 59.8 Uasin Gishu 60.1 Kericho 60.3 Nandi 60.3 Nakuru 61.1 Kiambu 61.4 Vihiga 61.6 Kakamega 62.0 Bomet 62.1 Bungoma 62.1 Makueni 62.7 Nyamira 62.7 Embu 62.9 Homa Bay 63.0 Machakos 63.1 Laikipia 63.3 Kisumu 65.0 Siaya 65.5 Kirinyaga 66.6 Murang'a 70.7 Nyandarua 72.4 Nyeri 74.3 Figure 7: Percentage installed with Digital Learning Devices, by county 100 80 60 40 20 0 Kenya Population Household Survey, 2019 Figure 8: Electricity connectivity across counties in Kenya 120 100 80 60 40 20 0 Kenya Population Household Survey, 2019 rural and less developed counties (Figure 7). In as The Kenya Population and Housing Census 2019 much as the survey looked at access to electricity, shows that the national average ownership of there are gaps in information on the stability and desktop computers, laptops and tablets stands reliability of the said access. Effective e-learning at 5.7 per cent (Figure 8). This depicts large is dependent on access and availability of steady disparities across the country where urban areas and reliable supply of electricity throughout the show high levels in access whereas marginalized learning period. These disparities in access to areas have a low access, which is way below the electricity between the rural and urban areas national average. This poses a challenge in delivery further widens the gap in e-learning between the of e-learning by the Kenya Institute of Curriculum poor and marginalized and the “well-off”. Development (KICD) and other private players, Issue 12, No. 2 | Oct - Dec. 2020 19 Percent Percent Turkana 8.6 Migori 77 West Pokot 11.8 Samburu 77 Wajir 14.1 Samburu 14.8 Bomet 80 Mandera 15.7 Kisumu 80 Kitui 17.1 Kajiado 81 Homa Bay 18.4 Mandera 82 Narok 19.7 Baringo 84 Siaya 19.7 Laikipia 88 Makueni 20.4 Marsabit 21.3 Bungoma 90 Bungoma 21.6 Nyamira 91 Bomet 22.1 Kakame… 92 Migori 23.3 Machakos 92 Garissa 23.5 Meru 93 Elgeyo/M… 24.3 Marsabit 93 Kakamega 25.1 Tana River 25.6 Narok 93 Busia 26.1 National 94 Baringo 28.3 Nakuru 94 Nandi 30.7 Nairobi 97 Kwale 31.5 Lamu 97 Tharaka-… 34.7 Mombasa 97 Trans Nzoia 37.9 Vihiga 38.4 Busia 97 Kilifi 38.5 Embu 97 Kisii 39.3 Kirinyaga 97 Meru 40.2 Kwale 98 Isiolo 40.6 Kiambu 98 Nyandarua 41.3 Tharaka… 98 Laikipia 42.2 Nyamira 42.9 Tana River 99 Lamu 43.2 Kilifi 99 Kericho 44.9 Nyanda… 99 Embu 47 Vihiga 99 Taita/Taveta 47.6 Kericho 99 Machakos 48.3 Nyeri 99 National 50.4 Kisumu 52.6 Murang'a 99 Murang'a 60.5 Kisii 99 Uasin Gishu 63.8 Kitui 100 Nakuru 64.4 Trans… 100 Kirinyaga 65.3 Uasin… 100 Kajiado 67.4 Nyeri 71.8 Makueni 100 Mombasa 85.9 Elgeyo… 100 Kiambu 91.7 Nandi 100 Nairobi City 96.5 Taita… 100 Figure 9: Desktop computer/ laptop/ table 25 20 15 10 5 0 Kenya Population Household Survey, 2019 Figure 9: Desktop computer/ laptop/ table 100 80 60 40 20 0 Kenya Population Household Survey, 2019 especially at the basic levels of education. At sets. Data from the survey shows that 32 per cent the university level, majority of the students and of the households have access to TV sets nationally instructors have access to ICT infrastructure, which as shown in Figure 9. Seventeen (17) out of the 47 ensured continued learning, consistent feedback counties are above the national average whereas and assessments. the remaining 30 counties are below the national average and majority are from the marginalized Dissemination of e-learning materials undertaken areas. The low access has implications on access by KICD is through programmed television to e-learning. Learners with no access to TVs have broadcasting. This is for pre-primary, primary and low access to learning materials, aggravating an secondary school class. Access to these materials is already existing disparity in access to education in highly dependent on household access to television the country. 20 Oct - Dec. 2020 |Issue 12, No. 2 Percent Percent Wajir 1.4 Wajir 7 West Pokot 1.4 Turkana 7 Mandera 1.5 Mandera 8 Elgeyo/Marakwet 2.0 West Pokot 10 Turkana 2.1 Garissa 13 Marsabit 2.5 Samburu 14 Garissa 2.6 Marsabit 15 Narok 2.7 Tana River 15 Tana River 2.7 Elgeyo/Mara… 18 Baringo 3.2 Bomet 19 Samburu 3.2 Narok 19 Bomet 3.3 Kitui 20 Kitui 3.5 Baringo 23 Nandi 3.6 Kwale 23 Busia 3.7 Makueni 25 Nyamira 3.7 Bungoma 25 Makueni 4.0 Kilifi 26 Bungoma 4.1 Homa Bay 26 Homa Bay 4.1 Isiolo 27 Lamu 4.2 Nandi 27 Migori 4.2 Busia 27 Siaya 4.2 Migori 28 Kakamega 4.3 Siaya 28 Kwale 4.3 Kakamega 29 Meru 4.3 Kericho 29 Vihiga 4.3 Tharaka-Nithi 30 Isiolo 4.5 Nyamira 30 Nyandarua 4.6 Kisii 31 Kericho 4.7 Lamu 31 Murang'a 4.9 Vihiga 31 Tharaka-Nithi 4.9 National 32 Kisii 5.0 Meru 35 Trans Nzoia 5.1 Taita/Taveta 39 Kilifi 5.5 Embu 42 National 5.7 Trans Nzoia 42 Machakos 43 Kirinyaga 5.9 Laikipia 44 Embu 6.3 45 Taita/TavetaKisumu 6.3 47 LaikipiaUasin Gishu 6.9 Murang'a 48 Nyeri 8.6 Nyandarua 49 Machakos 9.4 Kajiado 52 Nakuru 9.6 Nakuru 53 Kisumu 9.8 Kirinyaga 54 Uasin Gishu 10.1 Mombasa 57 Mombasa 13.0 Nyeri 60 Kajiado 14.6 Nairobi City 69 Kiambu 19.6 Kiambu 70 Nairobi City 22.7 Some of the positive attributes as a result of the For marginalized areas, “centers of convergence” e-learning programme is that it has led to an increase can be developed at strategic points for learners in internet consumption, with both the learners and under communities of learning initiatives. instructors using the internet to study and teach, respectively. Most of the lessons are conducted E-learning capacity online, which requires data bundles. As a way of The capacity for parents and teachers to support subsidizing this, Google Loon was able to partner learners to access e-learning, especially for basic with Telkom Kenya in providing 4G internet across education, is fundamental. However, due to the country to support the e-learning programme relatively low levels of adult literacy in Kenya, while at home. However, to ensure continued which currently stands at 81.53 per cent and learning and sustainable provision of e-learning ranked 106 globally (UNESCO, 2018), the capacity during and post-COVID-19 period, some of the for parents to support learners through coaching, lessons learnt going forward is the importance supervision and examination is minimal. This is of e-learning infrastructure. The United Kingdom, further worsened by disparities in the mean years for instance, has continued learning despite the of schooling between parents in urban and rural devastating effects of the pandemic. This has been areas (Figure 10). The characteristics and nature of possible because about 91.7 per cent of its student e-learning involves assisted learning of students population have computer access from home. In by parents and guardians, especially at the basic the United States³, the government through the levels of education. With a national average of Federal Communication Commission, started a seven (7) years of schooling against an ideal 12 programme called Keep Americans Connected years, monitoring, administration and assessment Pledge, which asks internet service providers not of learner progress poses a challenge. to disconnect consumers who were unable to pay their bills during that period. This gave its citizens Moreover, the home environment is not conducive universal access to internet, a critical component for learning, especially for those learners in the in e-learning. rural parts of the country. Learners in the urban areas may have access to e-learning materials and Majority of the Kenya’s population live in the rural lessons, while for the majority marginalized children areas where electricity and telephone facilities are in remote villages, including refugee children in limited. Interventions on policies that will ensure camps and those living with various disabilities, access of electricity and telephones among the e-learning for them is a serious challenge. Further, majority of the population for effective e-learning the low teacher-student interaction during the should be put in place. Reduction in taxes COVID-19 period poses a challenge in conducting and customs on ICT equipment and computer student assessments. Similarly, the daily check-in accessories would ensure that ICT is affordable roles and in-person interaction has shifted from to most Kenyans. It is, therefore, important to the teacher to the parent. provide adequate infrastructure and tools for communication systems and build the requisite Public and private universities in Kenya have technical and human capacity for management of proved the capacity to admit, teach, examine and e-learning systems in rural areas. This should also graduate their students online. These are good ensure adoption of universal designs targeting pointers but the Government needs to support learners with disabilities across all education some public universities where e-learning systems levels. This would involve resource mobilization to are yet to be put in place. For these universities, provide the required infrastructure, hardware and it is now a race against time as the face-to-face software requirements and training of teachers teaching methodologies become constrained. during pre-service and in-service. Establishment of For institutions to go digital and support effective existing network technologies such as Local Area e-learning, they need to have invested in online Network (LAN) and Wide Area Network (WAN) teaching and learning platforms, content is important for enhanced interconnectivity for development, digital libraries, and internet access. e-learning and use of ICT in education and training. 3 https://www.brookings.edu/research/5-steps-to-get-the-internet-to-all-americans/ Issue 12, No. 2 | Oct - Dec. 2020 21 Figure 11: Mean years of schooling by county, 2019 12 10 8 6 4 2 0 Kenya Population Household Survey, 2019 Conversely, since majority of the teachers had ensure timely delivery of educational materials benefited from the training offered under the and consistent feedback from instructors. Digital Learning Programme (DLP), most had requisite capacity to support e-learning. In this ICT and e-learning or ICT in the classroom are regard, e-interventions geared towards education not a passing phenomenon. They will continue and training have a crucial role in promotion of the to develop and will bring about fundamental ICT culture. This will have to start with e-learning changes in the provision of education at all levels. integration into the education curriculum at all This requires coming up with an ideal model for levels while ensuring that those leaving the formal implementing ICT both in teacher training and schooling are computer literate. Those graduating the classroom with a view to assisting the country from the formal school system and would wish to come up with ideal options of implementing specialize in this field would be facilitated to join appropriate ICT programmes in the respective post-school institutions of their choice to further education levels. Besides, implementation of their know-how and skills. Universities, which the competency-based curriculum (CBC) and form the apex of education and training, should competency-based education and training (CBET), also ensure that e-learning is integrated in their technical institutions demand high levels of ICT curricula. integration and effective e-learning innovations. Appropriate content and curbing cybercrime Conclusion The KICD has taken the lead in developing and For continued e-learning now and post-COVID-19 disseminating programmed digital educational period, it is important to put in place mechanisms to materials for learners at the pre-primary, primary ensure uninterrupted learning in future regardless and secondary school levels. At the basic level of of unforeseen pandemics. Strong collaborations education, the DLP content portal has uploaded and partnerships between the Ministry of content from KICD curriculum for all grades Education, various Government departments and learning areas, Tusome Programme, Kenya and agencies, development partners and private Publishers Association (KPA) and the Open sector players provide access to quality, equitable Education Resources are some of the digital and inclusive education to learners from across resources that can be used by the learners and the country constitute critical policy strategies. To teachers. At the post-secondary levels, it is the this end, the result will be a well-equipped skilled prerogative of higher learning institutions to society and technologically advanced country. 22 Oct - Dec. 2020 |Issue 12, No. 2 Years Wajir 5.7 Garissa 6 Mandera 6 Tana River 6.2 West Pokot 6.3 Kwale 6.4 Kilifi 6.7 Marsabit 6.7 Samburu 6.7 Turkana 6.7 Narok 6.9 Kitui 7.1 Lamu 7.1 Bungoma 7.3 Isiolo 7.3 Busia 7.5 Kakamega 7.6 Migori 7.6 Siaya 7.6 Elgeyo… 7.7 Homa Bay 7.7 Meru 7.7 Bomet 7.8 Nandi 7.8 Taita Taveta 7.8 Tharaka-Nithi 7.8 National 7.8 Baringo 7.9 Makueni 7.9 Trans Nzoia 7.9 Vihiga 7.9 Kericho 8.1 Machakos 8.3 Laikipia 8.4 Nyandarua 8.4 Embu 8.5 Kisii 8.5 Kajiado 8.6 Kisumu 8.6 Kirinyaga 8.7 Murang’a 8.7 Nyamira 8.7 Nakuru 8.8 Uasin Gishu 9.1 Mombasa 9.2 Nyeri 9.3 Kiambu 9.8 Nairobi 10.5 Taking Stock of Measures Implemented in Containing COVID-19 and its Effects By Paul Lutta According to the World Health Organization, as at After the first case of COVID-19 was reported 28th January 2021, 220 countries across the World in Kenya in March 2020, the Government has have been affected by COVID-19 with 100,445,529 continued to initiate a raft of measures aimed people testing positive for the virus while 2,166,440 at: prevention and treatment of the disease, have died. In Kenya, 100,323 persons have tested cushioning households and businesses from the positive, 1,751 people have died because of effects of the pandemic and ensuring continuation COVID-19 complications while 83,757 persons have of public services to the citizenry as indicated in recovered from Coronavirus as at 28th January Table 2. These measures were put in place in form 2021. Towards the end of August 2020, the country of Head of State Addresses (thirteen address positivity rate had improved from 13 per cent in delivered by the President and one delivered by June 2020 to 15 per cent in August 2020 with a the Interior Cabinet Secretary), and legislations possibility of going down if the COVID-19 protocols passed by Parliament and County assemblies. It is were adhered to. Similarly, the, recovery rate was important to note that the Government has been high at 58 per cent. adhering to WHO guidelines on accurate reporting of COVID-19 cases and other developments in With the ever-evolving nature of COVID-19, relations to treatment and prevention of COVID-19. countries continue to come up with several drastic This article reviews the several measures taken measures for prevention, control and treatment to contain the COVID-19 and its effects under the of the pandemic. These included: observance of following sub-themes: hand hygiene, continuous testing, intensification on case finding contact tracing, regular provision a) Movement restriction and gatherings of information on COVID-19, among others. In addition, the onset of distribution of vaccines The Public Order Act Cap 50 Laws of Kenya has with high levels of efficacy is a major milestone in been widely used in restricting movement and containing the pandemic. gatherings. The Act was amended to include Public Issue 12, No. 2 | Oct - Dec. 2020 23 Order (State Curfew) Order 2020 through the and the Public Order Act, restricting movement Kenya Gazette Supplement Notice, No. 1 of 25th of persons in infected areas and a ban on other March 2020. This restricted movements of persons activities to help contain the spread of COVID-19. at particular times of the day through what is These included setting up of a National Emergency commonly known as dawn to dusk curfew, with Response Committee on Coronavirus to advise exemption of persons providing critical services. the Government on preparedness, preparation The Act also prohibits public gatherings, which of quarantine and isolation facilities and setting meant suspension of activities such as learning in a side of Ksh1.7 billion for the expansion of bed institutions, sports activities, political activities, capacity in public hospitals. Further, an additional, religious activities and other cultural activities Ksh 1.0 billion was reallocated from the Universal such as weddings. The Act banned movement of Health Coverage kitty, appropriated towards the persons in and out of the country through closure recruitment of additional health workers to support of border points. in the management of the spread of COVID-19. The President also directed the Ministry of Public Further, the amended Public Health Act Cap 242 Service and the Ministry of Health to develop a restricted movements of persons to infected areas welfare package to cushion these frontline officers, by any means of transport unless for the purpose especially during this challenging time. This of delivery of essential goods and services. The included provision of medical insurance to cover Act also prohibited social gatherings, groupings, the health requirements of hospital staff, especially assembly or crowding in either public spaces, those dealing with the pandemic. The President buildings or premises used for activities such as also directed the County Governments to receive beauty enhancement, sporting, religious, cultural, a 3-month waiver from the Kenya Medical Supplies political, academic apart from marketing related Agency (KEMSA) requirements for the purchase of activities. The Act permitted funeral activities to masks and personal protective equipment (PPEs) take place but with limitations on the number of to protect citizens and healthcare workers from persons allowed to attend (maximum number infection. This waiver applies to sourcing of these of 15 persons were allowed initially with social products locally. The National government was distancing in place but later extended to 100). also to hire an additional 5,000 healthcare workers Additionally, it was provided that upon deaths with diploma/certificate - level qualification for resulting from COVID-19, the body of the victim a period of one year. The Ministry of Health also was to be interred or cremated within forty-eight developed protocols to temporarily retain retired (48) hours. anesthetists and ICU staff to support the medical From time to time, the Government has had to staff assigned to dealing with serious COVID-19 review movement and travel restriction measures cases in the counties. aimed at supporting growth of the economy and c) Hygiene furthering enjoyment of individual rights. Currently, the national dawn to dusk curfew starts from 10 pm The Public Health Act Cap 242 Laws of Kenya was to 4 a.m. running until 12th March 2021. Similarly, amended to include the Public Health (COVID-19 operating hours of hotels, restaurants and bars restriction of movement of persons and related whose hours had earlier been reduced have had to measures) rules, 2020 through the Kenya Gazette be extended as reported in Table 2. Other activities Supplement Notice, No. 1 of 6th April 2020. The Act that have resumed operations include schools, sought to maintain hygiene whereby every person religious activities, sports activities, and local and who is in a public place is required to maintain international air transport. These activities have physical distance of no less than one metre from had to operate in strict observance of COVID-19 the next person, and use a proper face mask that prevention measures. must cover the mouth and nose. The guidelines also mandate organizations, business entities, b) Health traders or vendors in markets or in enclosed space The health sector has been adversely affected by to provide handwashing facilities with soap and the pandemic and several measures have been put water or alcohol-based sanitizers at their business in place to support the sector. These are in addition location or entrance to their premises for their to the amended Public Health Act, Cap 242 Public customers and to put in place measures to ensure that physical distance of no less than one metre is 24 Oct - Dec. 2020 |Issue 12, No. 2 maintained between persons accessing or within support digital learning and to cater for other their premises and regularly sanitize their premises school infrastructure. Additionally, all Cabinet or business location. The County governments, Secretaries, Chief Administrative Secretaries other relevant Government agencies and private and Principal Secretaries were to scale-down all organizations donated handwashing facilities, in-person engagements within Government and water tanks, soap, and hand sanitizers to markets to take appropriate steps to foster the discharge and other public places as one way of supporting of their mandates by themselves and their officers hand hygiene. Enforcement agencies were urged through virtual means where possible. to ensure strict adherence to all public health social measures, including hand washing, social e) Fiscal measures distancing and mandatory wearing of masks in A raft of fiscal measures were undertaken to public places. To enhance civic responsibility, the cushion several sectors of the economy from National and County Governments resolved that, being affected severely. The fiscal measures going forward, services will not be rendered to included (Table 2): reduction of Income Tax Rate anyone who does not abide by the Ministry of (Pay-As-You-Earn) from 30 per cent to 25 per Health protocols. In that regard, the private sector cent, reduction of VAT from 16 per cent to 14 is to join the Government in the public sensitization per cent, a 100 percent waiver of Tax Relief for campaign dubbed, “No mask, No service” “Bila persons earning gross monthly income of up to barakoa, hakuna huduma”. Ksh 24,000, reduction in corporation Tax from Additionally, County governments have also been 30 per cent to 25 per cent, and reduction of the at the forefront in the fight against COVID-19 by turnover tax rate from the 3 per cent to 1 per providing several guidelines. For instance, some cent for all Micro, Small and Medium Enterprises counties have amended their County Public Health (MSMEs). Reduction of income tax rate has so far Acts by including Public Health Regulations 2020 put an estimated Ksh 47.8 billion into the pockets to prescribe additional precautions and measures of Kenyans by December 2020. These measures to prevent, suppress and control the transmission were later revised to its status quo beginning 1st and spread of the COVID-19 virus within their January 2021. jurisdictions. Similarly, County governments These fiscal measures were supported by Tax developed market protocols which included: Laws (Amendment Bill) 2020, which included fumigation of markets before the traders set up Income Tax Act (CAP 470), Value Added Tax Act of their wares, managing market entry and exit points, 2013, Excise Duty Act (2015), Tax Procedures Act provision of hand washing facilities, ensuring (2015), Miscellaneous Levies and Fees Act (2016), random temperature checks of sellers and buyers, and amendment to section 6 (1) and section 5 (1) and COVID-19 sensitization for market users. of the Value Added Tax Act, 2013. Additionally, the For open air markets, the County governments Government authorized payment of pending bills were to ensure social distancing is maintained by totaling Ksh13 billion by Government ministries and preparing new layout plans with markings on the departments to service providers while the Kenya floor separating sellers from each other. Revenue Authority was to expedite the payment d) Working from home of all verified VAT refund claims amounting to Ksh 10 billion within 3 weeks; or in the alternative, allow To ensure continuity of government business for offsetting of Withholding VAT, to improve cash during the pandemic period, all State and Public flows for businesses. Officers with pre-existing medical conditions and/ or aged 58 years and above, serving in Job Group S f) Liquidity management and below or their equivalents, were to take leave The monetary policy measures included the or work from home, excluding personnel in the lowering of the Central Bank Rate (CBR) to 7.25 security sector and other essential services. To curb per cent from 8.25 per cent, which prompted the shortage of teachers affected by working from commercial banks to lower lending rates, thus home directive, an additional amount of Ksh 6.5 availing the much needed and affordable credit to billion was allocated to the Ministry of Education MSMEs across the country. The Monetary Policy to hire 10,000 teachers and 1,000 ICT interns to Committee of the Central Bank further reduced Issue 12, No. 2 | Oct - Dec. 2020 25 the CBR to 7 per cent and has maintained it at that vulnerable individuals whereby Ksh 250 million level. There was also lowering of the Cash Reserve were released weekly to vulnerable families under Ratio (CRR) to 4.25 per cent from 5.25 per cent the cash transfer programme, and released Ksh 500 to provide additional liquidity of Ksh 35 billion to million to persons with severe disabilities to cushion commercial banks to support borrowers. them from the effects of COVID-19. Furthermore, there were also other social protection initiatives To support the growth of businesses, the in form of finances and food distribution that Government set aside Ksh 3 billion as seed capital had been launched by County governments to for the SME Credit Guarantee Scheme. The intention cushion vulnerable households from the effects of here is to provide affordable credit to small and COVID-19. Similarly, the Government launched the micro enterprises to bring them come back in National hygiene programme (commonly referred business. In addition to this, the Government would to as Kazi Mtaani), which seeks to employ 26,148 engage the SMEs in the manufacture of locally workers and is expected to grow to 100,000 youths assembled hospital beds and the manufacture of across the country in 23 informal settlements and other medical supplies such as masks for domestic most affected counties. The aim of the programme and export consumption. is to offer economic relief to youths and families, g) Resource mobilization while also ensuring environment protection. The Government amended the the Public Finance In conclusion, this article has looked at various Management Act, 2012 (No. 18 of 2012) by coming guidelines and measures that have been up with the Public Finance Management (COVID-19 undertaken by the Government to contain the Emergency Response Fund) Regulations, 2020. The spread of COVID-19 and to cushion individuals and objective of the Fund was to mobilize resources for businesses from the immediate impact of COVID-19. emergency response towards the containment, To a large extent, the measures have been effective spread and impact of COVID-19 which raised Ksh in reducing the spread of the virus, which has been 1 billion (as at 29th April 2020). The contributions indicated by declining numbers of infections and were from corporate and business entities, deaths. Adherence to COVID-19 regulations has Government institutions and individuals. A larger proved to be effective in controlling the spread proportion of the Fund was used to buy food and and treatment of the pandemic. This therefore non-food items for distribution to the vulnerable calls for stringent enforcement and adherence to groups in the society. Further, some counties the guidelines. amended their finance Acts to allocate additional funds to support the health infrastructure and social protection to contain the effects of COVID-19. h) Social protection COVID-19 has led to reduced economic activities, thus affecting jobs. On 16th April, 2020 the Government released Ksh 8.5 billion to elderly and 26 Oct - Dec. 2020 |Issue 12, No. 2 Table 2: Policy measures and behavioural protocols put to address the effects of COVID-19 as given by the President of the Republic of Kenya Date Policy Measures and Behavioural Protocols Formulated March 15th Movement restrictions 2020 (First Pres- idential Address 1) The Government suspended travel for all persons coming into Kenya from countries with on Coronavirus reported Coronavirus cases. pandemic) • Only Kenyan citizens, and foreigners with valid residence permits were allowed to come into the country, provided they proceeded on self-quarantine or to a government-des- ignated quarantine facility. This directive was to be effected within the next 48 hours to cater for any passengers who may have been enroute. This directive was to remain in effect for the next 30 days. • All persons who come into Kenya in the previous 14 days (from March 1st March 2020) were to be self-quarantined. If any person exhibited symptoms such as cough, or fever, they were supposed to present themselves to the nearest health facility for testing. Education sector 2) Learning was suspended in all education institutions with immediate effect. 3) For those in boarding schools, the school administration were to ensure that students were at home by Wednesday, 18th March 2020 while universities and tertiary institutions were to close by Friday, 20th March 2020. Working from home 4) Where possible, government offices, businesses and companies were encouraged to allow employees to work from home, with the exception of employees working in critical or essen- tial services. Cashless transaction 5) Encouraged the use of cashless transactions such as mobile money and credit cards. Appeal to mobile operators and banks to take into consideration the situation and reduce the cost of transactions during this period. Social gathering 6) In line with the directive to avoid crowded places, citizens were encouraged to: • Avoid congregating including in places of worship. • Minimize attendance to social gatherings, including weddings and funerals, and restrict the same to immediate family members. • Avoid crowded places including shopping malls and entertainment premises. • Minimize congestion in public transport, wherever possible. • Limitation of visitors to hospitalized patients in both public and private hospitals. Hygiene 7) Hospitals and shopping malls were encouraged to provide soap, water and hand sanitizers and ensure that all their premises were regularly cleaned and disinfected. Issue 12, No. 2 | Oct - Dec. 2020 27 Date Policy Measures and Behavioural Protocols Formulated March 25th, 2020 Fiscal measures (Second Presidential 1) 100 % Tax Relief for persons earning gross monthly income of up to Ksh 24,000. Address on 2) Reduction of Income Tax Rate (Pay-As-You-Earn) from 30% to 25%. coronavirus 3) Reduction of Resident Income Tax (Corporation Tax) from 30% to 25%. pandemic) 4) Reduction of Turnover Tax rate from the current 3% to 1% for all Micro, Small and Medium Enterprises (MSMEs). 5) The National Treasury shall cause immediate reduction of the VAT from 16% to 14%, effective 1st April 2020. Social protection 6) Appropriation of an additional Ksh 10 billion to the elderly, orphans and other vulnerable members of society through cash-transfers by the Ministry of Labour and Social Protection, to cushion them from the adverse economic effects of the COVID-19 pandemic. Access to finance 7) Temporary suspension of the listing with Credit Reference Bureaus (CRB) of any person, Mi- cro, Small and Medium Enterprises (MSMES) and corporate entities whose loan account fall overdue or is in arrears, effective 1st April 2020. Fiscal measures 8) All Ministries and Departments shall cause the payment of at least of Ksh 13 billion of the ver- ified pending bills within three weeks from the date hereof. Similarly, and to improve liquid- ity in the economy and ensure businesses remain afloat by enhancing their cash flows, the private sector is also encouraged to clear all outstanding payments among themselves within three weeks from the date hereof. 9) The Kenya Revenue Authority shall expedite the payment of all verified VAT refund claims amounting to Ksh 10 billion within 3 weeks; or in the alternative, allow for offsetting of With- holding VAT, to improve cash flows for businesses. Health sector 10) That Ksh 1.0 billion from the Universal Health Coverage kitty, be immediately appropriated strictly towards the recruitment of additional health workers to support in the management of the spread of COVID-19. In that regard, the Ministry of Health, the County Governments and the Public Service Commission to expedite the recruitment process. Burden sharing 11) In sharing the burden occasioned by the present global health pandemic, over the duration of the global crisis and commencing immediately, a voluntary reduction in the salaries of the senior ranks of the National Executive, as follows: i. The President & Deputy President – 80% ii. Cabinet Secretaries – 30% iii. Chief Administrative Secretaries – 30% iv. Principal Secretaries – 20 28 Oct - Dec. 2020 |Issue 12, No. 2 Related to that, the other arms of Government and tiers of Government to join in making similar voluntary reductions, which will free-up monies to combat this pandemic. Working from home 12) State Agencies to establish and implement frameworks for staff to work from home. 13) All State and Public Officers with pre-existing medical conditions and/or aged 58 years and above, serving in Job Group S and below or their equivalents, take leave or forthwith work from home, excluding personnel in the security sector and other essential services. Liquidity management 14) The lowering of the Central Bank Rate (CBR) to 7.25% from 8.25%, which will prompt com- mercial banks to lower the interest rates to their borrowers, availing the much needed and affordable credit to MSMEs across the country. 15) The lowering of the Cash Reserve Ratio (CRR) to 4.25% from 5.25% will provide additional liquidity of Ksh 35 billion to commercial banks to directly support borrowers that are dis- tressed as a result of the economic effects of the COVID-19 pandemic. 16) The Central Bank of Kenya shall provide flexibility to banks with regard to requirements for loan classification and provisioning for loans that were performing as at 2nd March 2020 and whose repayment period was extended or were restructured due to the pandemic. National curfew 17) Effective Friday, 27th March 2020, a daily curfew from 7 p.m. to 5 a.m. was set in the territory of the Republic of Kenya, with all movement by persons not authorized to do so or not being medical professionals, health workers, critical and essential services providers, being prohib- ited between those hours. 18) The management of the Kenya Ferry Services was vested in the National Police Service, the Coast Guard and the National Government Administration Officers (NGAO). Hygiene In addition, the President further explained the most effective way to limit the spread of the virus was through basic changes in individual behaviour and hygiene, that is: 19) Wash hands frequently with hand sanitizers or soap and water for at least 20 seconds. 20) Cover our nose and mouth when coughing and sneezing with tissue or flexed elbow. 21) Avoid close contact with anyone with cold or flu-like symptoms. 22) Social distancing is now our new norm, it is our new way of life. Issue 12, No. 2 | Oct - Dec. 2020 29 Date Policy Measures and Behavioural Protocols Formulated April 6th, 2020 Movement Restriction (Third Presidential Address on 1) Introduction of cessation of all movement by road, rail or air in and out of the Nairobi Metro- coronavirus politan Area; and the counties of Kilifi, Kwale and Mombasa. pandemic) • The cessation of movement in and out of Nairobi Metropolitan Area shall be for an initial containment period of 21 days with effect from 7:00 pm on Monday, 6th April 2020. • The movement within the Nairobi Metropolitan Area and the counties of Kilifi, Kwale and Mombasa shall continue subject to the nationwide curfew. • The cessation of movement within the counties of Kilifi, Kwale and Mombasa shall be for an initial containment period of 21 days with effect from 7:00 pm on Wednesday, 8th April 2020. In the intervening period movement in and out of the counties of Kilifi, Kwale and Mombasa shall be restricted and supervised by the Kenya Police. • The movement of food supplies and other cargo will continue as normal during the de- clared containment period through road, railway and air. • Any cargo-carrying vehicle or vessel shall be charged to a single driver and designated assistants; all of whom shall be designated as such in writing by the owner or operator of the said vehicle or vessel with reference to that vehicle or vessel. Sporting events 2) The Ministry of Sports, Culture, and Heritage to avail an additional support of Ksh 100 million from the Sports Fund to artists, actors and musicians during the period of the COVID-19 pan- demic. Social protection 3) The Ministry of ICT, Innovation and Youth Affairs, in collaboration with Kenya Copyright Board, Collective Management Organizations (CMOs) established a framework to ensure full transparency for artist’s earnings. President’s administration projected that a total of Ksh 200 million every month will be paid to musicians through the system and other platforms. This translates to over Ksh 2 billion going into the pockets of Kenyan artists. 30 Oct - Dec. 2020 |Issue 12, No. 2 Date Policy Measures and Behavioural Protocols Formulated APRIL 16th, 2020 Health Sector (Fourth Presidential 1) Recognizing the critical importance of health, mental and emotional needs of frontline Address on medical doctors, nurses and other medical professionals, the president directed the Ministry coronavirus of Public Service and the Ministry of Health to develop a welfare package to cushion these pandemic) frontline officers, especially during this challenging time. This should include actions by med- ical insurance companies to cover the health requirements of hospital staff especially those dealing with the pandemic. 2) The President directed the County Governments to receive a 3-month waiver from the Kenya Medical Supplies Agency (KEMSA) requirements for the purchase of masks and PPEs to pro- tect citizens and healthcare workers from infection. This waiver applies to sourcing of these products locally. National and Count government collaboration 3) The President indicated that the National Government will also support the counties’ response to the Coronavirus crisis with Ksh 5 billion that will supplement the savings that the counties have generated. These monies will be devoted specifically to cushion the most vulnerable people, and to protect healthcare workers. Social protection 4) To further cushion vulnerable Kenyans, the President indicated to have identified needy households in Nairobi that will be the inaugural recipients of the weekly COVID-19 Support Stipend. The piloting of the programme started yesterday and some of the initial beneficia- ries have received their stipend. 5) In addition, the President’s administration released Ksh 8.5 billion to the elderly and vulner- able individuals under the Cash Transfer Programme run by the Ministry of Labour, for the months ahead. In addition, Ksh 500 million, which were in arrears, have also been released to persons with severe disabilities. Issue 12, No. 2 | Oct - Dec. 2020 31 Date Policy Measures and Behavioural Protocols Formulated April 25th, 2020 Movement restriction (Fifth Presiden- tial Address on 1) The cessation of movement into and out of the Nairobi Metropolitan Area and the counties of coronavirus pan- Kilifi, Kwale and Mombasa that is currently in force extended for a further containment period demic) of 21 days. 2) To ensure that porous borders and security threats do not compromise our response to this pandemic, the security services will upgrade their alert and response measures in every bor- der area. National Curfew 3) The nationwide dusk-to-dawn curfew that is currently in force be extended for a further peri- od of 21 days. Social protection 4) The President announced a national hygiene programme (Kazi Mtaani), which commenced on Wednesday 29th April 2020. The programme was initiated to create jobs while making envi- ronment healthier amidst the pandemic. This first phase of the national hygiene programme employed 26,148 workers. This added to the 108,000 vulnerable households presently receiv- ing direct cash grants, and the senior citizens programme offering tangible relief to the most needy. Date Policy Measures and Behavioural Protocols Formulated 16th May 2020 Movement restriction (Sixth Presiden- tial Address on 1) Introduction of cessation of movement of persons and any passenger ferrying automobiles Coronavirus and vehicles into and out of the territory of Republic of Kenya through the Kenya-Tanzania pandemic) international border except for cargo vehicles, with effect from midnight today, Saturday 16th May 2020. 2) Introduction of cessation of movement of persons and any passenger ferrying automobiles and vehicles into and out of the territory of the Republic of Kenya through the Kenya-Somalia international border except for cargo vehicles, with effect from midnight today, Saturday 16th May 2020. 3) Drivers of the cargo vehicles were subjected to mandatory COVID-19 disease testing and will only be granted entry into the territory of the Republic of Kenya if they test negative. 4) The cessation of movement into and out of the Nairobi Metropolitan Area and the counties of Kilifi, Kwale, Mombasa and Mandera that was currently in force was extended up to and until the 6th June 2020. National Curfew 5) The nationwide dusk-to-dawn curfew that was currently in force was extended for a further period of 21 days up to and until the 6th June 2020. 32 Oct - Dec. 2020 |Issue 12, No. 2 Date Policy Measures and Behavioural Protocols Formulated 23rd May 2020 The stimulus programme (Seventh Presidential Announced the rolling out of my 8-point economic stimulus programme, amounting to a total of Ksh Address on 53.7 billion. coronavirus The injection of this money into the economy will stimulate growth and cushion families and compa- pandemic) nies to navigate ways out of the COVID-19 pandemic. The eight stimulus programmes are: 1) Infrastructure - set aside a total of Ksh 5 billion to hire local labour for this undertaking. 2) Education - Ksh 6.5 billion to the Ministry of Education and to hire 10,000 teachers and 1,000 ICT interns to support digital learning. The programme was to support the improvement of school infrastructure, including acquisition of 250,000 locally fabricated desks. 3) Small and medium enterprises - allocated Ksh 10 billion to fast-track payment of outstand- ing VAT refunds and other pending payments. Released Ksh 30 billion towards payment of pending bills in the roads sector. This will inject Ksh 3 billion as seed capital for the SME Credit Guarantee Scheme. 4) Health – National government to hire an additional 5,000 healthcare workers with diploma/ certificate - level qualification for a period of one year, stimulus programme will set aside Ksh 1.7 billion for the expansion of bed capacity in public hospitals. 5) Agriculture - prioritized Ksh 3 billion for the supply of farm inputs through e-vouchers, tar- geting 200,000 small scale farmers. This was meant to cushion farmers from the effects of adverse weather, and to secure food supply chains in the post COVID-19 period and into the future. Further, under this programme, there was allocation of Ksh 1.5 billion to assist flower and horticultural producers to access international markets, in a period where there was a shortage of flights into and out of the country. 6) Tourism - will provide soft loans to hotels and related establishments through the Tourism Finance Corporation (TFC), and a total of Ksh 2 billion will be set aside to support renova- tion of facilities and the restructuring of business operations by actors in this industry. The tourism component of the stimulus programme will also engage 5,500 community scouts under the Kenya Wildlife Service at a cost of Ksh 1 billion. Additionally, support will be made available to approximately 160 community conservancies at a cost of Ksh 1 billion. 7) Environment - to mitigate the impact of deforestation and climate change, and to enhance the provision of water facilities, the National government will rehabilitate wells, water pans and underground tanks in the arid and semi-arid areas. For this purpose, the Government set aside Ksh 850 million. A further Ksh 1 billion was set aside for flood control measures, and another Ksh 540 million for the Greening Kenya Campaign. 8) Manufacturing - an initial investment of Ksh 600 million to purchase locally manufactured ve- hicles. This is expected to sustain the operations of local motor vehicle manufacturers, and the attendant employment of workers. Issue 12, No. 2 | Oct - Dec. 2020 33 Date Policy Measures and Behavioural Protocols Formulated 06th June 2020 1) The cessation of movement into and out of the Eastleigh area of Nairobi and the specific lim- (Eighth itations in force with respect to the Mombasa Old Town area that was currently in force, shall Presidential lapse at 4:00 a.m. on 7th of June 2020. Address on 2) The view of the successful containment of the disease in the counties of Kilifi and Kwale, the coronavirus cessation of movement into and out of the two counties that is currently in force, shall lapse pandemic) at 4:00 a.m. on 7th of June 2020. 3) Due to the increase in patterns of infections, the cessation of movement into and out of the Nairobi Metropolitan area, Mombasa and Mandera be further extended by 30 days. Education sector 4) Following stakeholder’s consultations in the education sector - the Ministry of Education jointly with the Ministry of Health issues and publicizes guidelines on a gradual and progres- sive return to normalcy in the education sector by the third term from 1st September 2020. Further, that the ministry announces the new school calendar by mid -August. Religious, social, and political gathering 5) Following consultations with interfaith and religious organizations, the Ministries of Interior and Health within seven days, constitutes an Inter-Faith Council, to work out modalities and protocols of re-opening of the places of worship. 6) The ban on all forms of gatherings, including but not limited to political gatherings, social gatherings, including bars be and is hereby extended for a further 30 days. Transport sector 7) The Ministry of Transport is directed within seven days from the date hereof, to engage all key stakeholders and develop protocols to guide resumption of local air travel. National curfew 8) To accord all Kenyans the opportunity to enjoy a full-day’s work, the nationwide dusk-to-dawn curfew that was currently in force until the 6th June 2020, be and was extended for a further 30 days. However, the commencement time for the same was varied from 7:00 p.m. to 9:00 p.m.; with the end time for the same being varied from 5:00 a.m. to 4:00 a.m. Therefore, ef- fective 7th June 2020 the national wide dusk-to-dawn curfew will run from 9:00 O’clock in the evening to 4:00 O’clock in the morning. Isolation facilities 9) Every County government to deliver isolation facilities with at least 300 bed-capacity. Opening of the economy 10) within 14 days, develop time bound protocols for progressive re-opening of the economy. 34 Oct - Dec. 2020 |Issue 12, No. 2 Date Policy Measures and Behavioural Protocols Formulated 06th July 2020 Movement restriction (Ninth Presidential 1) The cessation of movement into and out of the Nairobi Metropolitan area, Mombasa County Address on and Mandera County, that was currently in force, shall lapse at 4:00 a.m. on Tuesday, 7th July coronavirus 2020. pandemic) National Curfew 2) The Nationwide curfew that was currently in force between the hours of 9 pm and 4am daily, be and was hereby extended by a further 30 days. Religious, social and political gatherings 3) The places of worship to commence phased re-opening for congregational worship and public (in-person) worship in strict conformity with all applicable guidelines and protocols, including the self-regulating guidelines developed by the Inter-Faith Council. 4) In line with the guidelines issued by the Inter-Faith Council, only a maximum of one hundred (100) participants will be allowed at each worship ceremony and not be more than one hour. 5) Sunday schools and Madrassas remained suspended until further notice, and in-person wor- ship shall not include congregants under the age of thirteen (13) years or above the age of fifty-eight (58) years or persons with underlying conditions. 6) Prohibition against social and political gatherings, of whatever nature, was extended for a further period of 30 days. 7) The restriction of the operation of bars to ‘take-away’ only, and the restrictions on the num- ber of persons who can attend weddings and funerals was extended for a further period of 30 days. Education sector 8) Following consultations with stakeholders in the education sector, and cognizant of the surge in the rate of infections, the Ministry of Education jointly with all the stakeholders in the sector shall today (06-07-2020), not later than tomorrow (07-07-2020), notify the public on the resumption of the 2020 academic calendar for basic education and tertiary institutions. Transport sector 9) There shall be no movement of public transport vehicles into and out of the areas previous- ly under cessation of movement restrictions, without the public transport providers being compliant with all protocols developed by the Ministry of Health. To operate, public service vehicles the operators will require mandatory certification from the Ministry of Health, in con- sultation with Ministry of Transport. 10) Local air travel within the territory of the Republic of Kenya to resume effective Wednesday 15th July 2020 in strict conformity with all applicable guidelines and protocols from both the Ministry of Health and civil aviation authorities. 11) International air travel into and out of the territory of the Republic of Kenya to resume effec- tive 1st August 2020; in strict conformity with all protocols from the Ministry of Health, local and international civil aviation authorities, and any additional requirements applicable at the ports of departure, arrival or transit. Issue 12, No. 2 | Oct - Dec. 2020 35 Date Policy Measures and Behavioural Protocols Formulated 06th July 2020 Secondhand cloths (Ninth Presidential 12) The Ministry of Health, in conjunction with the Ministry of Industrialization, Trade and Enter- Address on prise Development shall establish protocols for the resumption of the importation and sale of coronavirus imported/second-hand clothes. pandemic) Date Policy Measures and Behavioural Protocols Formulated 27th July 2020 National curfew (Tenth Presidential 1) The nationwide curfew remained in force for a further 30 days. Address on 2) There will be no sale of alcoholic drinks and beverages in eateries and restaurants across the coronavirus territory of the Republic of Kenya, effective at midnight today, for the next 30 days. pandemic) 3) The closing time for restaurants and eateries amended from 8 pm to 7 pm, starting at mid- night, for the next 30 days. 4) Bars to remain closed until further notice. 5) The Inspector–General of the National Police Service shall cause withdrawal of all licenses for bars operating in breach of this directive. 6) The Inspector General shall file a weekly return of all bars whose licenses have been with- drawn to the Cabinet Secretary for Interior and Coordination of National Government. 7) The Inspector General of Police shall ensure that his officers spare no mheshimiwa, or individ- ual, regardless of social status or rank, who is either out after curfew or who flaunts the health protocols without being an essential worker. The rules are for all of us, and rank or status does not exempt you from them. Religious, social and political gathering 8) The National Government Administration Officers and the National Police Service will strictly enforce Ministry of Health protocols on public gatherings, and particularly funerals. 9) Strict personal sanction will ensue to all police and National Administration officers in whose areas of jurisdiction there is breach of the set guidelines. Health sector 10) The Ministry of Health will develop a protocol to temporarily retain retired anesthetists and ICU staff to support the medical staff assigned to dealing with serious COVID-19 cases in the counties. Isolation centres 11) The Government institutions including all sporting facilities, stadia and educational institutions and other government facilities, upon designation by the Cabinet Secretary for Health as a public health facility, shall be availed to the Ministry of Health for Isolation and quarantine purposes. 36 Oct - Dec. 2020 |Issue 12, No. 2 Date Policy Measures and Behavioural Protocols Formulated 26th August 2020 National and County government collaboration (Eleventh Presidential 1) The Cabinet Secretary for Interior and Coordination of National Government in conjunction Address on with the Chairperson of the Council of Governors shall, in three weeks, convene an inclusive Coronavirus National Consultative Conference to review National and County COVID response and togeth- pandemic) er with all stakeholders chart Kenya’s post-COVID future. National Curfew 2) The closure of bars and nightclubs was continued for a further 30 days. However, the pro- hibition against the sale of alcohol by licensed hotels with residence is vacated. In the next 30 days, bar owners, in consultation with the Ministry of Health will develop self-regulating mechanisms as part of their civic responsibility to their clientele, to allow their resumption. 3) The closing time for restaurants and eateries be and was hereby varied by one hour from 7 pm to 8 pm, effective 27th August 2020. 4) The nationwide curfew that was currently in force between the hours of 9 pm and 4 am daily, be and was hereby extended by a further 30 days. Religious gathering 5) In accordance with the recommendations of the Inter-Faith Council, the maximum number of persons permitted to attend funerals and weddings was reviewed upwards to 100, with all in attendance abiding with Ministry of Health protocols. 6) The ban on the sale of second-hand clothing, otherwise known as ‘mitumba’, was herewith lifted. Details of how this will be operated and the protocols for the same will be announced by the Government tomorrow. Sporting events 7) The Ministry of Sports, Culture and Heritage and the Ministry of Health will jointly issue guide- lines on the gradual resumption of sporting events in Kenya. Issue 12, No. 2 | Oct - Dec. 2020 37 Date Policy Measures and Behavioural Protocols Formulated 28th September National curfew 2020 (Twelfth Presidential 1) The nationwide curfew in force throughout the territory of the Republic of Kenya is extended Address on for a further sixty (60) days. coronavirus 2) The commencement time for the nationwide curfew is varied from 9:00 pm. to 11:00 pm. pandemic) Therefore, effective tomorrow, Tuesday the 29th September 2020, the nationwide dusk-to- dawn curfew will run from 11:00 o’clock at night to 4:00 o’clock in the morning. 3) The prohibition against the operation of bars and the prohibition against the sale of alcoholic drinks and beverages by ordinary restaurants and eateries to stand vacated with effect from 29th September 2020. 4) The closing time for all bars and restaurants and eateries shall be 10 pm every day with effect from 29th September 2020 and their operations to be with strict adherence to the applicable guidelines and protocols issued by the Ministry of Health. Religious, social and political gathering 5) In line with the recommendations of the Inter-Faith Council, the permitted maximum size of religious gatherings is increased to one third (1/3) of its normal sitting capacity, but with strict adherence to all applicable guidelines and protocols issued by the Ministry of Health. 6) The permitted maximum number of persons attending funerals and weddings was reviewed upwards from one hundred (100) to two hundred (200), but with strict adherence to all appli- cable guidelines and protocols issued by the Ministry of Health. Taxation 7) The National Treasury considers retaining VAT at 14% until 1st July 2021. 8) The National Treasury considers retaining the Income Tax Rate (Pay-As-You-Earn) at 25% until 1st January 2021. 9) The National Treasury considers retaining the Resident Income Tax (Corporation Tax) at 25% until 1st January 2021. 10) To continue cushioning low income earners, the National Treasury maintains the 100% tax relief for persons earning gross monthly income of up to Ksh 24,000 beyond the sunset date of 31st December 2020. 11) To continue cushioning Micro, Small and Medium-Sized Enterprises the National Treasury con- siders maintaining the reduction of the current turnover tax rate from 3% to 1% for all Micro, Small and Medium-sized Enterprises (MSMEs). Access to finance 12) To enhance access to credit for micro, small and medium enterprises, the National Treasury was directed to expedite the ongoing roll-out of the credit guarantee scheme in partnership with participating banks and our development partners. The credit guarantee scheme as ap- proved by Cabinet was a risk-sharing partnership between the Government and banks, which will afford our enterprises across the country access to credit and increase the amount that we can lend to this sector by an additional Ksh 100 billion. 38 Oct - Dec. 2020 |Issue 12, No. 2 Date Policy Measures and Behavioural Protocols Formulated 04th November Working from home 2020 (Thirteenth Presidential 1) All Cabinet Secretaries, Chief Administrative Secretaries and Principal Secretaries to scale- Address on down all in-person engagements within Government and to take appropriate steps to foster coronavirus the discharge of their mandates by themselves and their officers through virtual means where pandemic) possible. 2) Similarly, and to protect government staffers drawn from vulnerable groups, all State and Public Officers aged above 58 years or who are immunocompromised to work remotely. With the exemption of those serving the nation in critical sectors. Education sector 3) With respect to the examination classes that have already resumed learning, they continue with their learning and examination preparations under heightened health safety measures, with all other basic learning classes resuming in-person learning in January 2021. 4) To foster the State’s preparedness towards the reopening of all other classes in learning institutions, Members of Parliament to engage their respective NG-CDF Boards with a view to finding ways to augment the existing interventions that are geared towards reopening. Make investments that focus on additional handwashing points, face masks, general sanitation and physical distancing of students and teachers. National Curfew 5) The nationwide curfew is extended up to 3rd January 2021. 6) Beginning from 4th November, the curfew will now be enforced between 10.00 pm and 04.00 am. 7) In consequence of the variation of the 10.00 pm curfew, all bars, restaurants, and other estab- lishments open to the public must now close by 9.00 pm. 8) In view of the restrictions within the hospitality sector, all operators of hotels, restaurants, eateries, bars and establishments that sell alcohol on wholesale or retail terms to do all that is necessary to ensure enhanced compliance with the Ministry of Health’s guidelines and proto- cols. 9) Where there is an upsurge of COVID-19 cases in a specific county, the National Government will consult with the affected county to issue localized lockdowns and movement restrictions as may be necessary to stem the spread of the disease. Religious, social and political gatherings 10) The directions governing religious gatherings remain unchanged; any indoor religious gather- ing other than for the purpose of a wedding or funeral shall have no more than one-third of its normal seating capacity occupied at a given sitting. 11) All Political gatherings and rallies are suspended for a period of 60 days with immediate effect. Anyone wishing to hold such meetings should do so in town halls and must observe all COVID protocols, including limiting the attendees to one-third seating capacity of the hall. 12) To enforce compliance at both the National and County level, the Ministry of Interior consti- tutes a Special Enforcement Unit made up of the National Police Service, National Govern- ment Administration Officers and supplemented by the County Government Inspectorate units to jointly enforce compliance to COVID protocols. Issue 12, No. 2 | Oct - Dec. 2020 39 Date Policy Measures and Behavioural Protocols Formulated 04th November Isolation facilities 2020 (Thirteenth Presidential 13) County governments to maintain isolation facilities in a state of preparedness through con- Address on tinuous capacity building for healthcare workers, provision of adequate PPEs for healthcare coronavirus workers and continuous implementation of infection prevention and control measures and pandemic) provision of piped/portable oxygen. Hygiene 14) County governments and other relevant government agencies to enhance and strictly enforce all public health social measures including hand washing, social distancing and mandatory wearing of masks in public places. 15) To enhance civic responsibility, the National and County governments resolved that going forward, services will not be rendered to anyone who does not abide by the Ministry of Health protocols. In that regard, the private sector to join the Government in the public sensitization campaign dubbed, “No mask, No service” “Bila barakoa, hakuna huduma”. Date Policy Measures and Behavioural Protocols Formulated 3rd January 2021 National curfew 1) The nationwide curfew extended up to 12th March 2021 to be enforced between 10.00 pm and 04.00 am daily. Religious, social and political gathering 2) The general directions governing religious gatherings to remain unchanged, any indoor religious gathering other than for the purpose of a wedding or funeral, shall be conducted in accordance with the guidelines issued by the Inter Faith Council and with all other applicable Ministry of Health guidelines and protocols remaining in force. 3) All forms of public events and gatherings which may act as ‘super spreader’ events for COVID-19, including political and roadside gatherings/meetings, shall remain suspended for the next 60 days; with the exception of funerals /burials and weddings, which shall only be conducted with prior approval and with the number of persons being capped at a maximum of 150 persons, and only if the particular venue can accommodate that number of persons while adhering to all applicable guidelines and protocols. 4) All overnight vigils or events of any kind to remain prohibited. Isolation facilities 5) All isolation facilities in the country shall continue to be maintained at a high state of pre- paredness through continuous capacity building of healthcare workers, provision of adequate Personal Protective Equipment (PPE) for healthcare workers, and the continuous implementa- tion of infection prevention and control measures. 6) The County Governments will enhance investment in piped and portable oxygen capacity in all isolation and critical care treatment facilities for the management of severe COVID-19 cases. 40 Oct - Dec. 2020 |Issue 12, No. 2 Date Policy Measures and Behavioural Protocols Formulated 3rd January 2021 Transport sector 7) All passengers in public and private vehicles must wear masks and maintain hand hygiene at all times while within the motor vehicle; and all public service vehicles shall observe a strict 60% maximum carrying capacity limit. Education sector 8) Teachers and other Staff who are aged 58 years or above, or who have pre-existing conditions shall deliver on their duties through remote means or by holding their classes/lessons in open spaces with natural flow of air. 9) All schools shall ensure that they have adequate hand-washing stations corresponding to their student population, in line with the guidelines issued by the Ministry of Health and the Min- istry of Education; schools experiencing water problems must ensure that there is adequate availability of hand sanitizers for both the students and the teachers. 10) All non-essential visits to schools by parents and guardians are prohibited and should only be allowed in exceptional circumstances – in fidelity with the guidelines issued by the Ministry of Education, with all visitors to schools being registered in the school records and being subject to all infection prevention protocols. 11) All teachers and students shall wear appropriate facemasks when on the school premises or within school transport, in addition to strictly applying hand-hygiene and physical spacing. 12) All extra-curricular activities such as sports, drama, music and prize giving days, involving more than one school remain prohibited for the next 90 days; and all exchange visits between schools shall remain prohibited for the same period. 13) The Principal/Headteacher of every school shall maintain a register of all sick pupils/students or teachers, and immediately inform the County Health Department of all instances of moder- ate to severe illness. 14) The County Health Departments are directed to carry out routine surveillance for COVID-19 and other public health problems in all schools; including random sampling of pupils, teachers, and ancillary staff. Source: Office of the President Website: https://www.president.go.ke Issue 12, No. 2 | Oct - Dec. 2020 41 POLICY NEWS Legislative Developments A. NATIONAL ASSEMBLY BILLS 1. The Judicial Service (Amendment) Bill, 2020 was gazetted for introduction into the National Assembly on 15th October 2020. The principal object of the Bill is to amend section 30 of the Judicial Service Act, No.1 of 2011 to insert a provision empowering the Judicial Service Commission to commence the process of recruitment of a new Chief Justice at least six months before the expected retirement date or expiry of the term of the Chief Justice under Article 167 of the Constitution. 42 Oct - Dec. 2020 |Issue 12, No. 2 POLICY NEWS POLICY NEWS Legislative Developments B. SENATE BILLS 1. The Political Party Primaries Bill, 2020 was gazetted for introduction into the Senate on 2nd October 2020. The objective of the Bill is to provide for the conduct of political party primaries nomination of party list members, and for connected purposes. It provides the political party structure for the conduct of party primaries, conduct of party primaries and offences relating to party primaries. Issue 12, No. 2 | Oct - Dec. 2020 43 POLICY NEWS National 1. Somalia breaks off diplomatic relations with Kenya Somalia severed diplomatic relations with Kenya in mid-December 2020 accusing Nairobi of recurrent outright violations its sovereignty and interference in internal affairs. The announcement of the severance of diplomatic ties came a day when President Muse Bihi Abdi of Somaliland (self-declared independent region of Somalia) paid a visit to Kenya on 14th December 2020. Further, Mogadishu has increasingly resented ‘close’ relationship between Nairobi and President Ahmed Madobe of Somali state of Jubaland. The two countries have had frosty relationship in recent years. Interestingly, Somalia had reopened its embassy in Nairobi on 14th November 2020 in a ceremony witnessed by state officials from both Kenya and Somalia. The reopening of the diplomatic mission was hailed as historic in strengthening diplomatic relations between the two countries. The embassy was reopened ten years since Somalia won a court case against a local businessman who had illegally bought the embassy premises in 1994. On 7th-9th November 2020, Kenya delegation had paid a visit to Somalia to inspect Kenya’s new embassy facility in Mogadishu and interact with Kenyan officials based at the diplomatic mission. The delegation met Somalia’s state officials to discuss regional cooperation and business opportunities that exist between the two countries. The turn of events in December means that future engagement between the two neighbouring countries will require rethinking bilateral cooperation anchored on pragmatic and mutual benefits to both Nairobi and Mogadishu. 44 Oct - Dec. 2020 |Issue 12, No. 2 POLICY NEWS DNoamtioenstailc 2. Top diplomats review progress on the Kenya-US Bilateral Strategic Dialogue On 22nd October 2020, Kenya’s Foreign Affairs Cabinet Secretary Ambassador Raychelle Omamo and United States Assistant Secretary for African Affairs Ambassador Tibor Nagy held a virtual consultation meeting to review the progress made on the Kenya-United States Bilateral Strategic Dialogue since its inauguration in May 2019 in Washington, DC, United States. The virtual meeting was attended by several top diplomats from both sides including United States Ambassador to Kenya Kyle McCarter. The issues discussed include cooperation at the UN Security Council for regional peace and security and continued efforts to eliminate the Al-Shabaab militants and their threats in the region. Kenya’s contribution to regional and global peace and security will be critical as the country will be a non-permanent member of the UN Security Council in 2021 and 2022. During the meeting, Ambassador Omamo appreciated United States’ support in a range of areas including the fight against COVID-19 pandemic, military assistance, capacity building in border management and maritime security. Both sides also welcomed the resumption of the second round of the Free Trade Agreement negotiations between Kenya and the United States. The Bilateral Strategic Dialogue seeks to boost trade and investment ties, enhance security and defence cooperation, promote good governance and multilateral cooperation between Kenya and the United States. Issue 12, No. 2 | Oct - Dec. 2020 45 POLICY NEWS DReogmiioenstailcl East African Standby Force faces financial constraints The East African Standby Force (EASF) might face limitations to fulfil its mandate due to financial constraints as only two member countries have submitted their contribution, which leaves the organization reliant on donor funding. During the 28th Ordinary Session of EASF’s Policy Organs meeting held in Kigali Rwanda on 14th -18th December 2020, the director of EASF Brigadier-General Getachew Shiferaw Fayisa observed that limited funding could jeopardise EASF’s activities and goals. The mandate of EASF is to enhance peace and security in the Eastern African region, with membership drawn from Burundi, Comoros, Djibouti, Ethiopia, Kenya, Rwanda, Seychelles, Somalia, Sudan and Uganda. Currently, South Sudan enjoys observer status in the regional organization. EASF is a regional mechanism to provide capability for rapid deployment of forces to carry out preventive deployment, rapid intervention, peace support/stability operations and peace enforcement. EASF is one of the five regional multidimensional forces of the African Standby Force under the African Union. Others include Northern Standby Brigade (NARC) Western Africa Standby Brigade (ECOWAS) Central African Standby Brigade (ECCAS) and Southern Africa Standby Brigade (SADC). Kenya and Ethiopia commit to boost trade and joint infrastructure projects The official launch of the Moyale one-stop border post (OSBP) on 9th December 2020 by President Uhuru Kenyatta and Ethiopia’s Prime Minister Abiy Ahmed is expected to increase trade between Kenya and Ethiopia. Apart from trade facilitation, the OSBP will enhance mutual interactions of citizens from the two countries and boost tourism. The 46 Oct - Dec. 2020 |Issue 12, No. 2 POLICY NEWS Regional two leaders committed to boost trade by reducing trade barriers and jointly funding projects. President Kenyatta and Prime Minister Abiy also inspected the Lamu Port, stressing the need to prioritize funding of the Lamu Port-South Sudan Ethiopia Transport (LAPSSET) corridor that will be critical in connecting Kenya, Ethiopia and South Sudan. The port is likely to be commissioned by October 2021. The leaders also committed to completion of road network to boost intra-trade in the region. The completion of the LAPSSET projects will not only boost regional trade but will also open northern Kenya for faster development as the infrastructure will unlock the region’s potential. Frontier Counties Development Council (FCDC) can position itself to benefit from Moyale OSBP and LAPSSET. FCDC is one of the seven county economic blocs in Kenya. FCDC member counties include Lamu, Tana River, Garissa, Wajir, Mandera, Isiolo, Marsabit, Samburu, Turkana, West Pokot and Baringo. Issue 12, No. 2 | Oct - Dec. 2020 47 KIPPRA KIPDRPeoRgmAioe Dnstaeilcmand-driven Projects NEWS A market and advocacy analysis of various core products in the Eastern and Central Africa KIPPRA is undertaking a consultancy study for Fairtrade Africa, which is an Independent non-profit organization representing members who are certified producers in Africa with over 1,083,139 members across 28 countries in Africa. The main purpose of this study is to identify and document country and regional level advocacy and policy that influence priorities for Fairtrade core products such as coffee in Kenya, Uganda, Rwanda, Tanzania and Ethiopia; Tea in Kenya, Tanzania, Rwanda and Uganda and Flowers in Kenya, Uganda and Ethiopia. The goal is to provide Fairtrade Africa with the best practices that have been proved to produce best results locally and globally with an aim to accelerate delivery of producer support services and advocacy interventions for socio-economic development in East and Central Africa Network region (ECAN). County COVID-19 socio-economic recovery and re-engineering strategies The Council of Governors (CoG) commissioned KIPPRA to develop the County COVID-19 Socio-Economic Re-engineering and Recovery Strategies. This was in response to unfolding effects of the COVID-19 pandemic with the first confirmed case in Kenya reported on 13th March 2020. The scope of the work was to develop a comprehensive report with concrete proposals on county social economic recovery that will guide county governments in adapting, re-engineering and recovering from the impacts of COVID-19. This is necessitated by the need for a well-coordinated, demand-driven and county-specific needs-based response per sector. This study has since been concluded with a launch of the overall County COVID-19 Socio-Economic Recovery and Re-engineering Strategy by H.E. the President on Friday 4th December,2020. Assessment of structures and profitability of milk distribution and retailing in Kenya Kenya Dairy Board has commissioned KIPPRA to undertake an Assessment of Structures and Profitability of Milk Distribution and Retailing in Kenya. The study seeks to identify structures (pathways) and profitability margins for the various stakeholders involved in distribution and retailing of milk in Kenya. The main objective is to assess the structures and profitability in distribution and retailing of processed milk in Kenya. Additionally, the study will cover the distribution and retailing network, between the factory and presentation of products to the consumer at retail level. This will cover UHT and pasteurized milk, in major urban centres of Nairobi, Mombasa, Nakuru, Kisumu and Eldoret. 48 Oct - Dec. 2020 |Issue 12, No. 2 KIPPRA KIPDRPeoRgmAioe Dnstaeilcmand-driven Projects NEWS Impact of power outages on industries in Kenya KIPPRA is undertaking a study on “Impact of power outages on industries in Kenya” a request from the Kenya Association of Manufacturers. The study focuses on the power outages in industries and its impact on production cost and tracking production costs trends versus cost of goods at ex-factory price for the last five years. Access to reliable and modern energy sources is fundamental for growth of the industrial sector and is a key input for all goods produced or services. Currently, the project team is collecting data from various firms in the country. The results of the study will inform improvements towards reliable power by the manufacturing firms. Designing development of an integrated demand forecasting tool for petroleum products KIPPRA is developing an integrated demand-forecasting tool for petroleum products for Energy and Petroleum Regulatory Authority (EPRA). The tool will be expected to forecast the consumption of regulated petroleum products in Kenya in the short and long term, including that of Liquefied Petroleum Gas (LPG). Therefore, KIPPRA aims to develop a universally accepted demand forecasting tool for petroleum products customized to the Kenyan petroleum sub-sector. The oil price forecasts will play an important role in assessing the future developments of pipelines, storage facilities, common user petroleum and gas facilities among others, and also other economic activities in Kenya and its trading partners, with implications for the country’s terms of trade. Kenya National Leather Policy KIPPRA is working with the Kenya Leather Development Council (KLDC) and the Ministry of Agriculture, Livestock, Fisheries and Cooperatives to develop the first Kenya National Leather Policy. The formulation of the policy is evidence-based, including review of past and existing interventions to appreciate historical development of the sector with the aim of identifying constraints and opportunities. Insights to inform the policy are also drawn from analysis of the sector’s data and review of experiences from other countries that have successfully transformed the leather sector into a major source of employment, exports, and income generation. The analysis of policy actors and their roles will also guide in identifying constraints and opportunities, and clear responsibilities for implementation of the policy interventions once its approved. Issue 12, No. 2 | Oct - Dec. 2020 49 KIPPRA CoDRlleoagbmiooernsatatiilcve Projects NEWS Poverty and distributional effects of COVID-19 on households in Kenya KIPPRA, in partnership with the African Economic Research Consortium (AERC), finalized a study on Poverty and distributional effects of COVID-19 on households in Kenya – induced lockdowns and the fiscal costs of offsetting these consequences. The research used detailed country-level household survey data to estimate the loss of income that these lockdowns cause across the income distribution; the increase in poverty brought about by the income losses; and an estimate of the government expenditure that would be necessary to offset that increase in poverty. The work is published in the AERC Working Paper Series. Assessing the scope of industries without smokestacks to create jobs in Kenya KIPPRA, in partnership with the Brookings Institution, finalized a study titled: “Assessing the scope of industries without smokestacks to create jobs: Kenya case study report”. These emerging sectors include services such as tourism and information and communication technology and horticulture and agro-processing. These sectors/sub-sectors are collectively referred to as industries without smokestacks (IWOSS) to differentiate them from manufacturing. This Kenya case study examines, in a comparative manner, the role of these IWOSS sectors in creating jobs for the youth. The domestic savings shortfall in Sub-Saharan Africa: What can be done about It? KIPPRA in collaboration with UNU-WIDER is working on a book on savings titled “The domestic savings shortfall in Sub-Saharan Africa: What can be done about it?” This is motivated by the need to increase domestic savings rates in Sub-Saharan Africa for economic growth to be realized. The book intends to close a gap in knowledge about: drivers of domestic saving rates in Sub-Saharan Africa; whether alternative approaches, such as pension funds or fintech, could provide new solutions to increase domestic savings; and lessons learnt from the experiences so far in different countries in Sub-Saharan Africa and other regions which have been more successful in raising savings rates. The findings of the research will be in tandem to the Addis Ababa action agenda of the United Nations on financing for development, which provides a new global framework for financing sustainable development by aligning all financing flows and policies with economic, social and environmental priorities. 50 Oct - Dec. 2020 |Issue 12, No. 2 KIPPRA EVENTS Induction of new KIPPRA Board Directors On 19th October 2020, new Board of Directors who had joined the Institute in the year were taken through an induction process by the management staff. They were given an overview of the Institute’s structure, strategic plan, workplan and performance contract targets and the staff capacities for the departments. The new Board Directors included: Dr. Fred Simiyu, Alternate, Principal Secretary, Trade; Mr. Samuel Gitau, Alternate, Cabinet Secretary, The National Treasury; Dr. Chris Galgallo Ali an educationist with extensive experience in educational management; and Ms Phoebe Ann Nkaabu, communications specialist with eleven years’ experience in the communication sector. The workshop was graced by the Chairperson of the KIPPRA Board Dr Linda Musumba, and the Executive Director Dr Rose Ngugi. Insightful discussions at two-day researcher’s workshop KIPPRA conducted a two-day researchers’ workshop on 19th and 20th November 2020 to discuss various issues aimed at streamlining public policy research and analysis activities and processes. The workshop began with a presentation of key issues identified while reviewing research papers. Among the issues highlighted included identification and development of a quality concept for a research study; putting together a methodology; effective delivery of contracted work, which included budgeting, taxation and project management; developing key policy messages and the use of government language; preparing a presentation; effective communication with and through the media; and the use of KIPPRA’s house style manual. These key areas formed the subject of presentations and trainings by various facilitators which included Prof. Victor Murinde, Founding Director of the Research Centre for Global Finance, at the School of Finance and Management, SOAS University of London who delivered his training virtually; Mr Jamshed Ali, KIPPRA Board Director; Mr. Bernard Mwinzi, Managing Editor, Weekend Editions at Nation Media Group; Dr Othieno Nyanjom, a researcher in development studies; and Dr Rose Ngugi, Executive Director, KIPPRA. Issue 12, No. 2 | Oct - Dec. 2020 51 Capacity Building events a) New cohort of Young Professionals On 5th October 2020, the Institute welcomed a new cohort of Young Professionals (YPs). A total of 20 Young Professionals were admitted to the programme. During the quarter, the Young Professionals underwent various capacity building courses, which include: Governance Structures in a Devolved System of Government (GSDSG); Public Policy Making Process (PPMP); Applied Research Methods and Tools for Policy Analysis. The YP programme is KIPPRA’s flagship programme, which has been running since 2003 and admits 10-14 young professionals from the public and private sector for a one-year rigorous training. Among the key qualifications for admission include a Master’s degree. The programme targets to enhance the technical competence in evidence-based policy process, build research capabilities of participants, enlighten on the scope, relationships and procedures in governance structure in both national and county level, introduce participants to economic tools of analysis and provide practical experience in the policy making process. b) Graduation of the 17th cohort of Young Professionals On 23rd October 2020, KIPPRA held a graduation ceremony for the 2019/2020 cohort of Young Professionals (YPs) celebrating their achievements and completion of their one-year intensive programme. The ceremony was graced by KIPPRA Board of Directors led by the Chairperson, Dr Linda Musumba and Executive Director, Dr Rose Ngugi. The event started with academic procession and later a panel discussion where YPs shared their experience of the programme. In her speech, Dr Linda Musumba urged the YPs to contribute to the policy options to solve the current challenges affecting the country. Dr Rose Ngugi, on her part, underscored the importance of the programme in contributing to the achievement of the national development goals through developing capacities in public policy research and analysis. The event was concluded with award of certificates to the graduands and later the current cohort of YPs entertained the guests with songs and dance. Engagement with Stakeholders a) County on-job-support forums on children, youth, women and PWDs sensitive planning and budgeting During the period, 1st to 11th December 2020, KIPPRA, in collaboration with the National Treasury, Kenya National Bureau of Statistics, Council of Governors, County Assemblies Forum, UNICEF, UN Women and UNDP held county on-job-support forums. The forums were held in Nakuru, Kisumu, Isiolo, Kirinyaga, Machakos and Mombasa counties, bringing together senior county officials from all the 47 counties. Discussions on how to have a standalone budget for children, youth and women was advanced and technical assistance to senior county staff was provided to enable them implement recommendations of the county budget briefs on children, youth and gender-sensitive planning and budgeting. This is aimed at strengthening linkages between spending and the performance of key outcome indicators in socio-economic well-being. In addition, were recommendations from the Public Expenditure and Financial Accountability (PEFA) reports, poverty profiles and county recovery strategies developed by KIPPRA to support counties in improving service delivery. The forums concluded with signing of the county commitment assessment tool by counties. The tool will enable KIPPRA and its partners to monitor social sectors, nutrition, health and early childhood development education budget execution. This will enable counties to meet the needs of children, youth, PWDs and women. 52 Oct - Dec. 2020 |Issue 12, No. 2 b) Launch of COVID-19 county socio-economic re-engineering and recovery strategy On 4th December 2020, KIPPRA participated in the launch of the COVID-19 County Socio-economic Re-engineering and Recovery Strategy. The event was graced by His Excellency, President Uhuru Kenyatta. This was a culmination of collaborative work between KIPPRA and the Council of Governors in developing the Strategy. The Ksh 132 billion recovery plan has five pillars, namely boosting private sector activity; strengthening ICT capacity; human capital development; policy, legislative and institutional reforms; and strengthening county government’s preparedness and response to pandemics and disasters. The strategy prioritizes agriculture, water and sanitation, urban development and housing, transport, tourism, health, education, social protection and gender as anchor sectors that will help counties recover from the effects of the COVID-19 pandemic. Networking Events a) The T20 Summit Saudi Arabia On 31st October to 1st November 2020, KIPPRA participated in the T20 Summit which was held as the capstone event for T20 Saudi Arabia. The virtual Summit gathered world-leading thinkers, civil society organizations, and international institutions to discuss the latest research-based policy recommendations and matters of global importance. KIPPRA was represented by the Board Chair, Dr Linda Musumba, who was a panelist in the session on building systemic, integrated and cross-sectoral approaches to youth policy. b) Emerging enterprises and economic inclusion On 5th November 2020, KIPPRA in partnership with the Centre for Development and Enterprise (CDE) of South Africa, co-organized a webinar on emerging enterprises and economic inclusion in Africa. The Head of Private Sector Development Department, Dr Moses Njenga made a presentation on behalf of the Executive Director Dr Rose Ngugi. The presentation focused on the description, importance, size, characteristics and constraints of informal enterprises, including trends on informal and formal employment and policy interventions. Some of the policy priorities discussed included the need to address heterogeneity of the sector, exclusion to formal financing, and access to technology. c) 7th Africa Think Tank Summit – Implementing the AfCFTA: Assessing country readiness and the implications for capacity building On 18th-19th November 2020, KIPPRA participated in the African Think Tank Summit organized by the ACBF. The Institute was represented by the Executive Director who was a speaker in the session on The role of Think Tanks in supporting the implementation of the AfCFTA. d) World Aids Day commemoration KIPPRA staff and management joined the rest of the world in commemorating World Aids Day on 1st December 2020, albeit virtually. The ceremony gave an opportunity to KIPPRA staff to understand the objectives and achievements in the fight against HIV/AIDS and get an in-depth knowledge of the prevention and management of the disease. This year’s World Aids Day was dedicated to raising awareness about HIV/AIDS and remembering those who have lost their lives to complications of HIV. The staff were also taken through the procedures of dealing with stigma and human rights issues, and disclosure and testing protocols. The ceremony was concluded with the sensitization of staff on non-communicable diseases such as diabetes, hypertension, stress management and mental health. Issue 12, No. 2 | Oct - Dec. 2020 53 Staff pose for a group photo during the commemoration of World Aids Day. e) Virtual 2020 Africa Think Tank Summit -Think Tanks and policy advice in a world disrupted and transformed On 4th December 2020, KIPPRA participated in the virtual 2020 Africa Think Tank Summit organized by Think Tank and Civil Societies Programme, University of Pennsylvania. The Summit brought together executives and leaders of various think tanks in Africa. KIPPRA was represented by the Executive Director Dr Rose Ngugi who was part of panel discussing solutions to the social and economic crises caused by COVID-19. Upcoming activities in the January-March 2021 quarter • KIPPRA Day “KIPPRA Day” is planned for 12th March 2021. This is an event to provide a platform to engage with its stakeholders and showcase its various products and services. The day will also be used to launch the Public Policy Repository in fulfillment of one of the Institute’s core mandate. The repository is an open access platform where all public policy documents can be accessed. • Kenya Think Tank symposium The 2021 Kenya Think Tanks symposium KIPPRA is planning to participate in the 2021 Kenya Think Tanks symposium on 30th March 2021. The symposium is a one-day event, which seeks to bring together various policy Think Tanks to debate and elicit policy dialogue and encourage multisectoral exchange of ideas and discussion on a central policy issue. 54 Oct - Dec. 2020 |Issue 12, No. 2 Issue 12, No. 2 | Oct - Dec. 2020 55 56 ABOUT KIPPRA The Kenya Institute for Public Policy Research and Analysis (KIPPRA) is an autonomous institute whose primary mission is to conduct public policy research leading to policy advice. KIPPRA’s mission is to produce consistently high-quality analysis of key issues of public policy and to contribute to the achievement of national long-term development objectives by positively influencing the decision making process. These goals are met through effective dissemination of Bishops Garden Towers, Bishops Road recommendations resulting from analysis and by training policy PO Box 56445, Nairobi, KenyaTel: +254 20 2719933/4; Fax: +254 20 analysts in the public and private sectors. KIPPRA therefore produces 2719951 a body of well-researched and documented information on public Email: monitor@kippra.or.ke policy, and in the process assists in formulating long-term strategic Website: http://www.kippra.org perspectives. KIPPRA serves as a centralized source from which the Twitter: @kipprakenya Government and the private sector may obtain information and advice on public policy issues. KIPPRA acknowledges generous support from the Government of Kenya and the Think Tank Initiative (TTI) of IDRC. The TTI is a collaborative initiative of Hewlett Foundation, International Development Research Centre (IDRC) and other partners. Other organizations are welcome to contribute to KIPPRA research either as core support, or support to specific projects, by contacting the Executive Director, KIPPRA. Send to us your comments on the articles published in this newsletter and any other aspects that may help to make the KIPPRA Policy Monitor useful to you. This may include policy issues you would like KIPPRA to prioritize. N PR AIN TC II OPL NES A O LF G VO AV LE URN EA SN C &E www.kippra.or.ke Get your Copy from KIPPRA Now!