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Medium Term Review of MTPII 2013-2017 REPUBLIC OF KENYA MINISTRY OF DEVOLUTION & PLANNING Mid Term Review of the Second Medium Term Plan 2013-2017 Mid Term Review of the Second Medium Term Plan 2013-2017 1 Mid Term Review of the Second Medium Term Plan 2013-2017 Final Report Aknowledgements Table of Contents 1.0 Introduction and Background .................................................................................. 1 1.1 Introduction ............................................................................................1 1.2 Objectives of the Assignment ..................................................................2 1.3 Methodology ..........................................................................................3 1.3.1 Inception Phase Activities .............................................................3 1.3.2 Field visits for Data Collection and Stakeholder Interviews ............5 1.3.3 Data Collation and Analysis ..........................................................5 1.4 Organization of the Report ....................................................................5 2.0 Overview of the Kenya Vision 2030 and its Medium Term Plans ......................... 7 2.1 The Kenya Vision 2030 ............................................................................7 2.2 The First Medium Term Plan (2008 – 2012) ............................................8 2.3 The Second Medium Term Plan (2013 – 2017) ....................................12 2.4 Institutional framework for Kenya Vision 2030 implementation ...........14 3.0 Key Findings of Progress and Achievements Under The Second Medium Term Period .................................................................................................................... 15 3.1 The Macroeconomic Framework .........................................................15 3.1.1 Overall Economic Performance ...................................................15 3.1.2 Sectoral Performance .................................................................16 3.1.3 Medium Term Fiscal Projections ..................................................17 3.1.4 Medium Term Employment Projections .......................................18 3.1.5 Structural Reforms ......................................................................18 3.1.6 Statistical Reforms ......................................................................20 3.1.7 Tax Reforms ..............................................................................21 3.1.8 Recommendations and Issues to be Carried Over to MTP III .......22 3.2 Foundations for National Transformation .............................................23 3.2.1 Infrastructure .............................................................................23 3.2.2 Energy ........................................................................................52 3.2.3 Information and Communications Technology (ICT) ...................57 3.2.4 Science, Technology and Innovation (STI) ...................................69 3.2.5 Land Reforms .............................................................................72 Mid Term Review of the Second Medium Term Plan 2013-2017 i 3.2.6 Public Sector Reforms .................................................................74 3.2.7 Labour and Employment ............................................................79 3.2.8 National Values and Ethics ..........................................................87 3.2.9 Ending Drought Emergencies .....................................................89 3.2.10 Security, Peace Building and Conflict Management ...................92 3.4 The Social Pillar ...................................................................................100 3.4.1 Education and Training Sector ..................................................100 3.4.2 Health ......................................................................................110 3.4.3 Environment, Water and Sanitation ..........................................115 3.4.4 Population, Urbanization and Housing ......................................121 3.4.5 Gender, Vulnerable Groups and Youth .....................................125 3.4.6 Sports, Culture and Arts ...........................................................131 3.5 The Political Pillar ................................................................................136 3.5.1 Devolution ................................................................................137 3.5.2 Good Governance and the Rule of Law ....................................144 3.7 National Integrated Monitoring and Evaluation Systems ....................166 3.7.1 Achievements During MTP II .....................................................167 3.7.2 Adequacy and Relevance of Indicators in the National Handbook of Reporting .........................................................................168 3.7.3 Reporting Against Indicators, Flagship, and Other Programmes and Projects ....................................................................................169 3.7.4 Institutional Arrangements for Monitoring Reporting ...............170 3.8 Mainstreaming of MDGs and Gender Issues in the MTP II ..................173 4.0 Notable Challenges Under the MTP II and the Main Lessons ........................... 177 4.1 Introduction ..........................................................................................177 4.2 Challenges Pertaining to Land Acquisition ...........................................177 4.3 Funding and Disbursement Issues .......................................................177 4.4 Implementing Devolution ....................................................................178 4.5 High Expectations on PPP Arrangements .............................................178 4.6 Slow Pace of Approval of Policies and Enactment of Laws .................178 4.7 Legal and Institutional Reform Challenges ..........................................178 4.8 Insecurity as Challenge ........................................................................179 4.9 Limited Cooperation between Government Agencies ..........................179 4.10 Institutional Challenges of Multi-Agency Projects ................................179 ii Mid Term Review of the Second Medium Term Plan 2013-2017 4.11 Inadequate Infrastructure .................................................................179 4.12 Inadequate Community Involvement ..................................................179 5.0 Conclusions and Final Recommendations ........................................................... 181 5.1 Conclusions ........................................................................................181 5.1.1 Conclusions Relating to the Macroeconomic Framework ..........181 5.1.2 Foundations for National Transformation .................................182 5.1.3 Economic Pillar .........................................................................183 5.1.4 Social Pillar ...............................................................................184 5.1.5 Political Pillar.............................................................................184 5.1.6 Monitoring and Evaluation ......................................................186 5.2 General Recommendations ................................................................186 5.3 Specific Recommendations ..................................................................188 5.3.1 On the Macroeconomic Framework..........................................188 5.3.2 On the Foundations for National Transformation ......................188 5.3.3 On the Broad Economic Pillar of KV 2030 .................................190 5.3.4 On the Social Pillar ....................................................................191 5.3.5 On the Political Pillar .................................................................192 5.3.6 Monitoring and Evaluation .......................................................194 Mid Term Review of the Second Medium Term Plan 2013-2017 iii iv Mid Term Review of the Second Medium Term Plan 2013-2017 1.0 Introduction and Background 1.1 Introduction The Ministry of Devolution and Planning (MODP), is mandated, through Executive Order No. 2 of 2013, to provide overall strategic guidance in national development planning. This mandate involves providing leadership in the formulation, implementation as well as monitoring and evaluation of macro and sectoral development policies and programmes. The Ministry, in collaboration with stakeholders, formulated macroeconomic and sectoral policies and programmes that are intended to stimulate and sustain a high economic growth rate, create employment and reduce poverty. The Kenya Vision 2030 is the country’s long-term development blue print whose aim is to transform the country into a modern, globally competitive, middle-income country, offering a high quality of life for all citizens by the year 2030. It has so far been implemented in five year phases through the First Medium Term Plan 2008- 2012 (MTPI) and the Second Medium Term Plan 2013-2017 (MTP II). The publication of the MTP II 2013-2017 marked a critical milestone for Kenya’s development path because it was the first national development plan to have been formulated under the new Two-Tier governance structure (national and county governments) as provided for in the Constitution of Kenya 2010. The MTP II also captures key priority programmes and projects of the Government of Kenya as espoused in the Jubilee Manifesto. The Government has been tracking the implementation
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