Nairobi: Kenyan President Uhuru Kenyatta's administration has unveiled a Sh928.6 billion recovery plan to rescue the economy ravaged by Covid-19. The government is banking on the Covid war chest to mitigate or reverse effects of the virus crisis that has left an estimated 1.7 million people jobless in the formal and informal sectors. Unemployment has doubled to 10.4 per cent; the country faced an unemployment crisis before the pandemic hit.
President Kenyatta intends to pump billions into the health, education, security and ICT sectors. Transport and women's enterprises will also benefit. The recovery plan also involves incentivising the private sector, reviving tourism, manufacturing and transport, as well as providing for vulnerable segments of society.
The Treasury says the steps will be implemented in the current and next financial year. It estimates the economy will grow from the current 2.9 per cent to 5.9 per cent. Among the biggest winners in this strategy are schools that are set to reopen in January. The government will spend Sh1.1 billion for masks, soap and sanitisier for primary schools and another Sh1 billion for the same items in secondary schools.
In addition, Sh28 billion will be spent to increasing enrolment in primary schools and another Sh4 billion to recruit teachers. At least Sh1.2 billion will be spent to expand and refurbish classrooms and ablution blocks; Sh5 billion for WASH programmes and Sh5 billion for meals. Universities are expected to receive Sh103 billion capitation grants and Sh1.4 billion for additional hostels to accommodate 8,000 students.
Others are agriculture (Sh30.2 billion), manufacturing (Sh23.5 billion), transport (Sh101 billion), financial services (Sh10.7 billion), Water (Sh95 billion), Education (Sh383 billion) and Sh29 billion (environment services).
