For the first time in history, Kenya’s economy has shown remarkable progress in the regional and global arena and it is not stopping. Interesting. Hardly, a week or month can slip away without hearing of good news about Kenya’s economy trending upwards in various micro and macro-economic analyses done by financial institutions across the globe.

The developments, without bias, signal that Kenya is headed for economic superiority in the East African region and it could just be a matter of time before it entrenches itself as the EAC economic hegemony. Given that in the past, our economy dominated global news for bad reasons, the recent spate of good news in trade and industry hint a bright prospect for the people of Kenya and EAC by deductive sense.

Just days ago, Tanzania signed the European Union-East Africa Community trade pact, paving the way for new engagement with the European Union markets.  The new deal was signed amid another good news of tax waiver earlier proposed by EU over Kenyan exports to its market which could have led to the loss of jobs of close to 150,ooo Kenyans. Soon, Kenyan exporters will have easy access to export goods duty free to EU market, signaling even a brighter economic boom, a billion thanks to new-layered EAC and EU economic partnerships Accord- EPA.

It is therefore our prayers in the aggregate interest of the 150 million plus EAC community, that member countries at the apex of the deal, precisely Tanzania, commit to sign to allow smooth take off the EPA.

Similarly, we have heard of Kenya attaining a middle-income status, and Kenya being the EAC economic frontier and the third largest economy after Nigeria and South Africa.  All these developments are good to hear, but on the flipside they must translate in the overall economic health of the country. It is because they point to why, Kenya is today ranked as the lead investment hub in Africa and preferred tourist destination despite the few hiccups realized in the threats posed by Al-Shabab insurgent groups.

But that pleasant news aside, the overarching question is: how many Kenyans are feeling the cascading effect of the good economic fortune? This is what is inexplicable in the whole matrix. The Executive must do all they can to ensure that there is an “ecological balance” in the redistribution of the national wealth.

While we recognize that Kenya is still a unitary state, despite the devolved system of government, it defies an iota of economic sense to apply skewed sharing of the national resources among the counties.

Time and again, I have raised the question, which does not require an induction from the neoclassical school of economics on the need to uphold equitable sharing of the national resources as prescribed in law. If one of the primary reasons for which the devolved administrative units was created is to ensure decentralization of power, goods and services to the people, then issues raised by Governors make sense.

Governors, although assuming to be advancing a different agenda to the Opposition, appear to be sailing in the same boat – seeking for more funds to be devolved to the Counties. Both have launched massive campaigns to transfer more cash to the counties and to empower the people and initiate projects to fast track economic growth at the regions, to edify the objects of devolution.

This is not good news to the Capitalists because it would mean that they secede more financial powers to the Governors who in turn could amass more powers and undermine the status quo. This is the reason behind the current referendum quandary and you will agree with me that when put to vote, the issue will make or break the country again. We thus need to tread carefully on the plebiscite push.

Arguably, governments win elections when the economy is booming, and are likely to lose when the economy recedes for simple reasons that most people will resent. Over the years, Economic down turns has proved hectic for despotic governments in the Middle East and led to sudden overthrow of such regimes in power by the hoi polloi. I am certain, this is not the direction our economy wants to take, Those in authority must consistently guard against avenues that leads to rising month on month inflation or rising cost of living.

I am elated, that the President has just re-affirmed Kenya’s commitment to reduce the cost of energy, and hopefully, when implemented, could reduce inflation. We want to hear more of such good news. We also want to hear more news of the State integrating the youth in the economy, like they are doing with the reformed National Youth Service, and voluntary youth jobs to and tap demographic dividends.

By By Kepher Otieno
The writer kepher43@gmail.com is a consulting Editor.