Rethinking Kenya’s projects investment post Vision 2030

As Kenya approaches the culmination of its Vision 2030, a blueprint aimed at transforming the nation into a competitive, industrialising middle-income economy, the country stands at a crossroads.

While it established a solid foundation, a performance review is essential to inform the next strategic plan, which must prioritise coordinated and sustainable infrastructure investment.

Over the past two decades, Kenya has achieved significant infrastructure progress. Road networks have improved with projects like the Thika Superhighway, and Nairobi’s bypasses easing traffic congestion in Nairobi.

Air transport has seen upgrades at the Jomo Kenyatta International Airport (JKIA) and the emergence of regional airports like Kisumu and Isiolo. The Standard Gauge Railway has been transformative, reducing transport costs and travel time.

The energy sector has expanded generation capacity and increased clean energy sources. Consequently, World Bank data indicates electricity access surged from 30 percent in 2003 to 75 percent in 2023, unlocking opportunities for numerous households and businesses.

Despite these advancements, challenges including poor investment decisions, budget deficits, political interference, inflation, election-related issues, and forex fluctuations have hindered timely achievement of infrastructure targets.

High public borrowing has inflated debt, some projects have exceeded budgets, and contractors face payment delays. Inadequate power transmission and distribution infrastructure, limited access to clean water and sanitation, and healthcare deficiencies still persist, even as we near the end of the strategic plan.

Moving forward, Kenya needs a more coordinated and data-driven infrastructure investment strategy. A comprehensive national infrastructure needs assessment, starting at county level and extending nationally, is crucial to tailor investments effectively.

Maximising the economic benefits of strategic assets like the Mombasa port and the JKIA, would be vital in optimising economic impact. Encouraging inter-county collaboration on joint projects can optimise resource pooling and problem-solving.

Data-informed planning is paramount. Infrastructure decisions should consider population trends, economic activity, environmental factors, and climate risks. Enhancing spatial data capabilities and utilising digital tools will improve infrastructure design.

Learning from international experiences is valuable. The United Kingdom’s National Infrastructure and Service Transformation Authority demonstrates the benefits of centralised infrastructure coordination.

Australia emphasises long-term sustainability. China’s Belt and Road Initiative highlights the impact of scale, alongside the need for quality and waste avoidance. Japan exemplifies high-quality, resilient, and community-centric infrastructure development.

Kenya now requires a system to prioritise projects based on impact, feasibility, and sustainability. Strengthening national and county-level planning institutions through training, coordination, and good governance is essential.

Strict quality and sustainability checks should be integrated into all project stages, including the adoption of greener technologies, durable materials, and life-cycle cost analysis.

Frameworks like the Envision Sustainability Framework by the Institute for Sustainable Infrastructure could provide valuable guidance.

Sustainable financing remains a major obstacle. Enhancing domestic resource mobilization through tax base expansion, curbing evasion, and improving public spending efficiency is necessary.

Financial markets need to develop innovative infrastructure financing solutions. PPPs, facilitated by the new and robust PPP Act, offer a promising avenue, especially for localized projects. Development Finance Institutions will remain key partners, and exploring blended finance and long-term capital is crucial to bridge funding gaps.

In conclusion, while Vision 2030 spurred progress, unresolved challenges remain. The next phase demands a bolder, smarter, and better-coordinated approach. A robust, data-driven infrastructure plan, informed by global best practices, is now essential to shape Kenya’s future.

The writer is the CEO Miundo Misingi.