The Kenya node is convened by the Department of Economics and Development Studies, University of Nairobi, and includes working in collaboration with the Kenya National Bureau of Statistics. The project, which is funded by the Agence Française de Développement (AFD), has two components: inequality diagnostics for Kenya; and fiscal incidence analysis for the country.

The project is data intensive and provides trends in inequality and poverty over time by using the recent Kenya Integrated Household Budget Survey for analysis. The fiscal incidence analysis uses the Commitment to Equity (CEQ) Institute approach in its analysis, using Kenyan data on taxation, expenditure and transfers.

The potential of the research

The study targets key stakeholders in the public sector including policymakers in several ministries such as the Ministry of Finance and the Treasury and various think tanks and non-governmental organisations (NGOs).

The research has the potential to improve and update information on the magnitude and structure of inequality in Kenya based on several datasets. The research also will improve understanding the effects of government tax revenue and spending on the distribution of income. Third, the results can be used to simulate various policy reforms to establish their effects on inequality.

Beneficiaries of the research

Several groupings stand to gain from this research. These include national government officials in various departments, county government officials, scholars and NGOs. The findings of the study will form the basis of engagements with these groups.

Research links to the SDGs

This research is linked to Sustainable Development Goal 10 to reduce inequalities within and among nations.

The benefits of participating in ACEIR

ACEIR’s research focus is an issue that is debated in the media, at political meetings and by research think tanks. With evidence on inequality in Kenya, it is possible to ensure that economic growth reduces poverty. This is because, in the presence of deep inequality, growth may not yield benefits in terms of lower incidence of poverty.