Anyway, we voted for it so we just have to live with it. And senators aren’t even doing what they were elected to do. And MCAs, what do they do apart from threatening Governors with impeachment so they can get fatter allowances?
Sometime ago I saw on Facebook a certain MCA questioning why they have to buy Oxygen for hospitals yet oxygen is free in the air.
Niggas please! If you don’t know anything about basic economics JUST SHUT THE FERK UP AND STOP THE BUCK-PASSING WHICH YOU BLACKS MOSTLY EXCEL IN.
Let me educate you.
GDP growth is a basic measurement of how a national economy increases the value of goods and services it produces, in percentage terms per annum.
While there are extraneous factors such as drought that can affect GDP, the MOST IMPORTANT FACTOR is the productivity of the PEOPLE through investments in all sectors of the economy - agriculture, manufacturing etc etc.
The problem with countries such as Kenya is that very few people are making these investments, the rest are consumers (children, the aged etc etc).
BUT MOSTLY, MOST KENYANS - AFRICANS - ARE LAZY BUMMERS WHO EXPECT THE GAVAMENT TO DO EVERYTHING FOR THEM, INCLUDING FEEDING THEM AND THEIR 50 CHILDREN.
HOW then can the economy grow when 90% of the people are dependents who just eat and shit, 365 days a year?
To make the economy grow faster? Force all the Kikuyu youth who spend their days in an alcoholic daze start working again; force the ferking Turkana to stop lying in the sun the whole day waiting for food aid; whip the coastals into line hii mambo ya kubarizi chini ya minazi iieshe; Wajaka waambiwe waache maombolezi kila siku walime; etc etc.
You are half right. Kibaki introduced a policy of not more than 10% deficit in the budget. Suddenly markets were awash with liquidity as banks switched focus from govt lending to individuals. The resultant CONSUMER SPENDING led to 7%growth rate. While real estate and telecoms stood out growth was more broad based and these two were just symptoms of the same.
You are also right, the elec and roads projects will increase velocity of money thus rising incomes
Does it mean that countries such as Ethiopia, Rwanda and Tanzania whose economies are growing at an average of 7% per annum and above every year have got all their citizens working and do not entertain laziness compared to Kenya or what? Methinks the issue of economic growth to a larger extent depend on the government policy and how goverment allocates its development budget such as on key sectors that can spur growth such as Industries and agirculture- value added
Good question so I’ll answer politely. Countries that are coming from nothing normally explode in the first few years as the economy gains traction. Remember Rwanda post-genocide or even Uganda when M7 took over. Kibaki took over from Moi when Kenya was doing negative - the only was up. Watch Zim next year, they’ll do 10% easily.
The US howver normally does about 2%. BECAUSE THEY HAVE BEEN AT IT LONGER.
Ok i get your argument… On the issue of citizens being prdocutive I agree. But the goverment/ national economic policy does have an effect on economic growth rate?
Guka, you publish one more article of this and you will get a phd in voodoo economics. First of all consumption is the bedrock of any economy. One man’s expenditure is another man’s income, it’s that simple.
Over the last couple of months my main customers have been having difficulties, this has forced me to adapt and seek new business in backwaters that I wouldn’t otherwise visit, in return, I have gained a new appreciation for the rural economies. Are there drinks? Yes they are but they form a tiny part of society, less than 1 %. The rest are productive adults who enjoy their baada ya kazi like they are entitled to. I understand your affinity to alarmist statements given your media back ground. That guy with five kids you complain about probably spends all day toiling in industrial area for 500 shs. If he asks for subsidised unga it is only because he wants to stretch his income further. That money will not go to a sink hole but will be consumed in another way and put back in circulation.
In terms of investment, the best investment you can ever make as a nation is in the people. That is why since 2003 the biggest item in our budget has always been education. Slowly but surely we are building a more skilled work force, you are just slow to realising it. Those dependants today will be producers of tomorrow.
I think you put too much emphasis on quantity over quality of growth. Countries like Ethiopia have been growing faster than us but that growth is mainly driven by govt investment in infrastructure. To finance this massive program the government has squeezed out the private sector. What this means is that while the enablers(infrastructure) will be in place, the capacity of private sector to utilise them for more broad based growth (spreading income to more people) is severely limited. Govt can make all policies it wishes but it will come to naught if there are no entreprenuers to take advantage of such policies. Focus on the ingredients for growth not the end product.
devolution is not the problem. in comparison to national spending devolved funds are tiny and they have done a small bit. where i come from we have small inroads done and we got countless water projects and even clinics. heck we even got a growing university and i hear there should be one in every county. there are problems with the system, but this is the best we have seen in 50 years. The biggest accountability problem iko hapa nairobi kwa national government. watu walia 100 million ikiibiwa county lakini hawaoni at national government pesa ikienda in batches in the order of 200 billion at a time. So stop deflecting the problem @spear clone.
double digit ni siasa ya ruto na tunajua vile kulienda.
We import less and we start manufacturing things I’m telling you this country will grow very fast. But we’re trapped in a cycle of importation from chairs, mitumba, fruits, household appliances etc.