| dc.description.abstract | The performance of the Kenyan economy deteriorated markedly in the 1980s
and 1990s, with growth falling below its potential. A number of factors contributed to
this poor performance, including external shocks and broad-based decline in
productivity of investments, near collapse of physical infrastructure and inefficient use
of public resources. These problems were compounded by serious weaknesses in
institutions of governance, which undermined competitiveness as well as investor
confidence in Kenyan economy. The failure to generate adequate economic growth led
to increased unemployment, poverty and worsening in almost all social indicators.
2. To address these economic challenges, NARC government (NARC) set out an
ambitious and comprehensive programs of economic renewal under the Economic
Recovery Strategy (ERS) with emphasis on policy and institutional reforms. The
strategy is aimed at: (i) accelerating sustained economic growth underpinned by stable
macro-economic environment; (ii) enhancing equity and poverty reduction to improve
the welfare of Kenyans; and (iii) improving governance to ensure efficiency and
effectiveness of public service delivery and to create an enabling environment for
sustainable business growth and development. | en |
