Kenya. Strategy for Sweden s development cooperation with MFA

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MINISTRY FOR FOREIGN AFFAIRS, SWEDEN UTRIKESDEPARTEMENTET Strategy for Sweden s development cooperation with Kenya 2016 2020 MFA 103 39 Stockholm Telephone: +46 8 405 10 00, Web site: www.ud.se Cover: Editorial Office, MFA Article no: UD 16.022

Strategy for Sweden s development cooperation with Kenya, 2016 2020 1. Direction Within the framework of this strategy, Swedish development cooperation with Kenya is to contribute to a better environment, limited climate impact and strengthened resilience, the democratic development of society and improved opportunities for poor people to support themselves. Development cooperation is also to contribute to the prevention of conflicts in Kenyan society. In addition, it is to support a transition from development cooperation to broader economic relations. The strategy will apply to the period 2016 2020 and comprises a total of SEK 1 750 million. 1 Swedish development cooperation within the framework of the strategy is expected to contribute to: A better environment, limited climate impact and greater resilience to environmental impacts, climate change and natural disasters Strengthened management of natural resources and ecosystem services Improved capacity of public institutions and other actors at national and local level to contribute to environmental sustainability, increased resilience to environmental impacts, climate change and natural disasters, and reduced climate impact Increased production of and improved access to renewable energy Improved access to environmentally sustainable basic services 1 This strategy governs the use of funds under appropriation item 9 Africa in the appropriation directions for the Swedish International Development Cooperation Agency (Sida) for each budget year.

Strengthened democracy and gender equality, and greater respect for human rights Strengthened democratic institutions at national and local levels Strengthened rule of law Strengthened media and civil society capacity to promote democratic development and accountability Strengthened capacity among public institutions and civil society organisations that promote gender equality and respect for human rights, with a focus on women and girls Better opportunities and tools to enable poor people to improve their living conditions Increased productivity, sustainability and processing in smallscale agriculture Improved opportunities particularly for women and young people for productive employment with decent working conditions Improved access to social protection for people living in poverty Strengthened conditions for free and fair trade and investments that benefit sustainable development 2. Country context Kenya is currently classed as a lower middle income country following a recalculation of the economy in September 2014, when GDP was revised upwards by around 25 per cent. The country has a young and relatively well-educated population with great entrepreneurial spirit. The population is increasing rapidly the current population of 43 million is expected to double by 2050. In recent years, economic growth in Kenya has been around 4 5 per cent, but poverty remains widespread. Almost half of the population lives on less than USD 1.25 a day. Inequality is substantial in dimensions such as income, regions, urban/rural areas, 4

ethnicity, gender, age and beliefs. In 2014, Kenya was ranked 147 of 187 countries in the United Nations Development Programme s (UNDP) Human Development Index. Kenya is extremely dependent on its natural resources for its people s livelihood and the country s revenues. The vulnerability of Kenya s society is clearly linked to the unsustainable use and management of natural resources and the environment, as well as the country s insufficient climate investments. In rural areas, close to 70 per cent of the population earn their livelihoods from small-scale agriculture. Only one third of the agricultural area is arable. Agriculture is often completely dependent on rain, which leads to vulnerability to climate and weather variations, recurring famine and an increase in the number of people who live with chronic food shortages. Some 1.5 million Kenyans are dependent on food aid. In rural areas, only seven per cent of the population has access to electricity, which hampers local development. Women, young people and children who live in poverty are particularly vulnerable. Since the introduction of the multi-party system in 1992, political developments in Kenya have been characterised by an uneven, positive trend towards a deepening of democracy. At present, the country faces great challenges regarding respect for human rights and democratic development. The patron-client relationship between the elite and ordinary citizens continues to permeate society and curbs attempts to bring about a stronger democratic culture. There are signs that respect for civil and political rights is weakened by increased threats, harassment and legislative initiatives that target civil society. Corruption permeates Kenya s society and poses a serious obstacle to the country s development. There are major tensions in the country at national and local level, often caused by poverty and competition for natural resources and political influence. Ethnicity linked to clientelism in politics is a factor that further fuels these conflicts. Radicalisation of young men, terrorism and serious crime are growing problems that have a negative impact on the security situation. The humanitarian situation in Kenya has improved. However, the country is affected by recurring droughts, famine disasters and ethnic conflicts 5

which lead to large flows of internally displaced persons. The country has two of the world s largest refugee camps, housing a total of some 600 000 refugees, mainly from Somalia and South Sudan. These refugees do not have access to the labour market and their freedom of movement is limited. Opportunities for returning are limited by the current security situation in Somalia. The most important political and democratic milestone in recent years was the adoption of a new constitution in 2010. The constitution creates the conditions for increased public participation at national and local level in political processes and decisions, not least in that it provides for an extensive decentralisation reform that delegates political powers and financial resources to the 47 new county governments that were established following the 2013 elections. The overarching goal of Kenya s Vision 2030 development programme is to create a globally competitive and flourishing nation with a high quality of life. The vision rests on three pillars: economic, social and political. The goal of the economic pillar is to improve the wellbeing of all Kenyans through an economic development programme that covers all the regions and strives to achieve average annual economic growth of 10 per cent. The goal of the social pillar is to build a fair and cohesive society in a clean and secure environment. The political pillar strives to realise a democratic political system based on an approach respecting the rule of law and protecting the rights and freedoms of all people. The motivation behind Swedish development cooperation with Kenya is the widespread poverty and challenges regarding a democratic culture, human rights, the status of the rule of law and opportunities to earn a living. A lack of education and social protection, climate change, extensive corruption and an uneven distribution of power and resources represent other challenges that justify Sweden s development cooperation with Kenya. Sweden has a long history of development cooperation with Kenya and enjoys strong confidence as a partner in areas such as democratic governance, human rights, gender equality, trade, natural resources, water and sanitation, and urban development. 6

3. Activities Sweden s development cooperation with Kenya is to be based on and characterised by a rights perspective and the perspective of poor people on development. The rights perspective means that human rights and democracy are regarded as fundamental to development. This approach means that individuals and groups that are discriminated against, excluded and marginalised are made visible prior to each contribution. This is so that all people will be able to enjoy their rights, regardless of gender, age, disability, ethnicity, religion or other belief, sexual orientation, transgender identity or expression. The perspective of poor people on development means that the situation, needs, circumstances and priorities of poor women, men and children must be used as the basis for poverty reduction and the promotion of equitable and sustainable development. Swedish development cooperation is to integrate environmental sustainability, gender equality, and peaceful and democratic development. A comprehensive view of the challenges, needs and conditions of poor people and society is the foundation of development cooperation. The guiding principle is that economic, social and environmental conditions and processes are to be interpreted and managed in an integrated context. Violence and armed conflict are among the greatest barriers to economic and social development, and development cooperation is an important aspect of conflict prevention. Armed conflicts are aggravated by illegal or uncontrolled flows of arms and ammunition and development cooperation should be designed to help counteract these flows. An environmental and climate perspective, a gender equality perspective and a conflict perspective will be systematically integrated into Sweden s development cooperation with Kenya. The focus of activities and the specific context govern the choice of partners and forms of cooperation. The point of departure is that the partners and forms of cooperation that contribute most effectively to achieving long-term sustainable results are to be used. Sweden is to help develop efficient public institutions, systems and processes. The Swedish Government assesses that general budget support is not an option at 7

present. The Swedish International Development Cooperation Agency (Sida) is to seek a balance when choosing partner organisations. When cooperation with the State is considered, a selective approach should be used in which the focus is on state partners that are willing, in a responsible and inclusive manner, to lead and pursue change in a positive direction. Sida is to identify actors that can contribute to the positive development of society, with particular focus on better living conditions for people living in poverty. These include county governments and state institutions at a decentralised level, civil society organisations, the media, the private sector including cultural and creative industries, cultural organisations, and women s, children s and young people s groups. Cooperation should be designed to contribute to strengthened capacity and long-term sustainable results. Sweden s support to capacity development is to be needs and demand-driven, and designed so that it contributes to transparency and long-term sustainable capacity, and also strengthens local ownership and facilitates accountability. Programmebased support may be combined with strategic and catalytic contributions, including new, innovative forms of cooperation and financing. Sweden is to promote taking account of environmental, social and economic aspects in aid-financed procurements. Sweden is to promote coherent and effective aid coordination in Kenya, especially through active participation in the EU s aid coordination and joint programming. A perspective beyond aid is of particular importance. In implementing the strategy, Sweden is therefore to encourage Kenya to strengthen the conditions for domestic resource mobilisation, international trade and investments, and to stimulate cooperation that, in the long term, can continue without development cooperation funding. Institution-building efforts, capacity development and exchanges of experience should be an integral part of this work. The broadened relations, including trade, are to contribute to viability, increased prosperity and sustainable development in Kenya. Strategic choices of contributions and actors can be identified in cooperation with the partner country so as to be able to combine the aims of poverty reduction and improved conditions for trade and investment. Activities will be conducted so that the results achieved are sustainable and durable. Sida is to ensure that a holistic view is taken of the total 8

Swedish support to a country or region when implementing a strategy. Synergies between the different areas of the strategy are therefore to be harnessed as far as possible. Synergies with other relevant strategies are also to be sought. Cross-border programmes and cooperation with countries in the region should be developed as a complement to, and in synergy with, bilateral contributions as part of efforts to counter conflicts and promote regional integration. Development activities should be coordinated with humanitarian measures in the country so that Sweden contributes to a transition from temporary humanitarian assistance to sustainable development cooperation. Development cooperation is to be designed so as to help prevent and combat corruption. Swedish development cooperation in the area of environment and climate is to help strengthen the capacity and skills of national actors to contribute to a better environment, limited climate impact and enhanced resilience. This can include enhanced resilience of institutions and households, capacity for disaster risk reduction, capacity for adaptation to environment and climate change, and the potential for recovery and further development. These factors are necessary to promote development that is inclusive and sustainable. Sustainable management of natural resources and durable ecosystem services such as clean air, land with good production potential and water, are necessary for enhanced resilience. Activities may include improved food security, a diversified economy and sustainable public procurement that takes account of lifecycle costs (LCC) and corporate social responsibility (CSR). Other prioritised areas include better access to environmentally sustainable basic services such as water, sanitation and renewable energy and renewably produced electricity for long-term sustainable development. Sweden s long and good experience of sustainability issues with a wide range of actors in Kenya contributes to Sweden s added value. Sweden is to help strengthen democratic developments and respect for human rights at national and local level in Kenya. Activities are to focus on a stronger civil society and stronger media for better impact in advocacy work, anti-corruption and reform of weak key institutions in central government administration and the legal sector. Institutions at a decentralised level are of major importance for providing basic 9

services. Agents for change and human rights defenders that work for greater political responsibility and accountability, a non-corrupt society and the promotion of human rights are particularly important. Special focus will be given to the perspective of the rights of the child and to promoting political participation and organisation opportunities for women and girls. Sweden can work to strengthen rights for refugees, including opportunities to participate in the economy. Sweden has a long tradition of supporting central government institutions, human rights defenders and civil society in Kenya, which makes Sweden well-suited for cooperation in the area. Sweden will contribute to better opportunities and tools to enable poor people to improve their living conditions. Sweden s development cooperation is to help strengthen the bridge between economic growth and poverty reduction by contributing to more inclusive and therefore more sustainable economic development. Activities are to focus on support to productive employment with decent working conditions, which in itself is a prerequisite for successfully fighting poverty. Furthermore, activities are to focus on improved and diversified income opportunities for people living in poverty in rural and urban areas. Increased productivity, environmental sustainability and degree of processing in small-scale agriculture are important since many people are employed in this sector. Better conditions for employing young people and women are a priority, in view of the marginalisation and discrimination that these groups still encounter in the labour market. Access to social protection systems is particularly important for children, women, people with disabilities and other groups that often live in insecure conditions. Sweden can help increase access to education that better corresponds to the demands of the labour market and to increased capacity for social dialogue and organisation among the social partners or equivalent parties. There is also a need to improve access to financial services for micro and small businesses (including small-scale agriculture) and for economically weaker households. Simplified trade procedures, better trade-related infrastructure and an enhanced ability to meet international standards are vital for improving the potential to benefit from local, regional and international trade, as well as investments that 10

benefit sustainable development. Innovative solutions can contribute to a greater number of green jobs and so to Kenya s transition to a green economy. The forms used for follow-up are described in the Government s guidelines for strategies. Evaluation is to be regarded as an integral aspect of continuous monitoring and will be implemented when necessary. Various methods will be used to follow up on results, with both qualitative and quantitative information about results. Efforts should be made to achieve a balance between short-term and long-term results in the portfolio of contributions to ensure that development assistance contributes to equitable and sustainable development. 11