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Kenya Cooperation Framework

Context

The Kenya Integrated Programme Phase II is built on lessons learnt from the Independent Evaluation of Phase I and formulated in line with Vision 2030 and more specifically the Private Sector Development Strategy (PSDS) of the Kenyan government, hence also supporting Kenya to achieve the MDGs, particularly Goal 1, 7 and 8. KIP Phase II is aimed at utilizing UNIDO’s comparative advantage to generate measurable and tangible results with maximum impact.

Strategy

The overall objective of this component is to build competitive suppliers and develop a reliable food safety and quality assurance system . Trade Capacity Building in agro-industry products for establishment and proof of compliance with international market requirements. UNIDO also strives towards Kenya achieving Industrial Modernization and Upgrading in selected industries

Goal 3 of the PSDS (Facilitating Growth through Greater Trade Expansion), more particularly Objective 2: “Revitalization of trade facilitation”, is directly supported by this project.

Main Counterparts/Lead Institutions

  • Ministries of Trade, Industrialization, Health and Agriculture
  • Kenya Bureau of Standards

Component: I - Trade Capacity Building

  • Trade Capacity Building in agro-industry products for establishment and proof of compliance with international market requirements
  • Industrial Modernization and Upgrading in selected industries

Overall project objective

Building competitive suppliers and develop a reliable food safety and quality assurance system.

Government priorities

Goal 3 of the PSDS (Facilitating Growth through Greater Trade Expansion), more particularly Objective 2: “Revitalization of trade facilitation”, is directly supported by this project.

Main counterparts/lead institutions

  • EAC Secretariat
  • Ministries of Trade, Industry, Health and Agriculture
  • Standards Bodies
  • Product testing laboratories
  • Metrology laboratories

Investment Promotion

This project will directly contribute to Goal 1 (Improve Kenya’s business environment), and in particular Objective 4: “Catalyze public-private sector dialogue”.

  • Foreign Direct Investor’s survey & capacity building of Kenya Investment Authority (KIA) and Investment
  • Monitoring for Improved Business Governance in Kenya

Overall Project Objective

Improving the investment climate in Kenya with a view to mobilizing and increasing FDI flows into Kenya and enhancing their impact on the local economy.

Government Priorities

This project will directly contribute to Goal 1 (Improve Kenya’s business environment), and in particular Objective 4: “Catalyse public-private sector dialogue”, Goal 2 (Accelerate Institutional transformation) and Goal 4 (Improve Productivity) of the Private Sector Development Strategy (PSDS)

Main Counterparts/Lead Institutions

 

  • Kenya Investment Promotion Authority (KIA)
  • Ministry of Trade and Industry (MoTI)
  • Kenya Association of Manufacturers (KAM)
  • Kenya National Chamber of Commerce and Industry (KNCCI)
  • Kenya Private Sector Alliance (KEPSA)

Overall Project Objective

Improving the investment climate in Kenya with a view to mobilizing and increasing FDI flows into Kenya and enhancing their impact on the local economy.

Government Priorities

This project will directly contribute to Goal 1 (Improve Kenya’s business environment), and in particular Objective 4: “Catalyse public-private sector dialogue”, Goal 2 (Accelerate Institutional transformation) and Goal 4 (Improve Productivity) of the Private Sector Development Strategy (PSDS).

Main Counterparts/Lead Institutions

  • Kenya Investment Promotion Authority (KIA)
  • Ministry of Trade and Industry (MoTI)
  • Kenya Association of Manufacturers (KAM)
  • Kenya National Chamber of Commerce and Industry (KNCCI)
  • Kenya Private Sector Alliance (KEPSA)

Renewable Energy and Energy Efficiency

The Government’s Priorities “Vision 2030” stipulate 10% growth of Kenya’s economy; currently the annual average growth rate in installed capacity of power in the country is less than 5%.

  • Energy Management Center for promoting energy efficiency of industries
  • Sustainable Energy Production through provision of decentralized RET systems

Overall Project Objective

Stimulate local economic development in selected rural off-grid areas in Kenya through the introduction of Renewable Energy Technologies for Productive Use.
Government’s Priorities “Vision 2030” stipulates 10 % growth of Kenya’s economy; currently the annual average growth rate in installed capacity of power in the country is less than 5%. The lack of adequate electricity is hampering the growth of industries particularly focused on manufacturing and value addition such that more than 75% of the country’s exports are in raw materials than finished goods. This project will directly contribute to Goal 4 (Improve Productivity) and to Goal 5 (Support Entrepreneurship and Indigenous Enterprise Development) of the Private Sector Development Strategy (PSDS).

Main Counterparts/Lead Institutions

 

  • Ministry of Energy
  • Local Communities and Entrepreneurs
  • Business Solution Centers

Support to the MSME Sector

One of the two main strategic objectives of the Private Sector Development Strategy (PSDS) is to enhance the growth and competitiveness of the private sector, particularly MSMEs.

  • BisNET - Supporting MSMEs through ICTs
  • Assisting MSMEs to transform into globally competitive businesses

Overall Project Objective

Assisting MSMEs to climb the ladder from micro to small, and small to medium enterprises.

Government’s Priorities

One of the two main strategic objectives of the Private Sector Development Strategy (PSDS) is to enhance the growth and competitiveness of the private sector, particularly MSMEs.

The project will directly contribute to Goal 5 (Support Entrepreneurship and Indigenous Enterprise Development of Private Sector Development Strategy).

Main Counterparts/Lead Institutions

  • SME focused ICT/E-commerce Support
  • Microfinance Institutions
  • Product packaging and design company
  • SME Training and mentoring company
  • Export Promotion Zones Authority-EPZA

Capacity Building of the Kenya Industrial Research and Development Institute (KIRDI)

Overall Project Objective

Help alleviate poverty and stimulate local economic development, through targeted training of professionals, technicians, managers and entrepreneurs on various aspects of value addition for primary products, improvement of competitiveness by promoting better technology and quality assurance and contributing to Goal 4 (Improve Productivity) and to Goal 5 (Support Entrepreneurship and Indigenous Enterprise Development) of Kenya’s Private Sector Development Strategy (PSDS).

Government’s Priorities

The Kenya Vision 2030, the PSDS strategy, the Economic Recovery Strategy of the Government of Kenya  (GOK) and other national long term growth plan policy documents, aimed at transforming Kenya into a globally competitive and prosperous nation, offering a high quality of life for all Kenyans by 2030 in a clean and healthy environment, envisions a totally restructured industrial scenario and is aimed at reviving and revolutionizing the manufacturing sector, and doubling its contribution to GDP.

Main Counterparts/Lead Institutions

  • Ministry of Trade and Industry
  • Kenya Industrial Research Development Institute (KIRDI)

For more information on this project: office.kenya@unido.org  
For more information about UNIDO: communications@unido.org