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Devolution's Impact on Nairobi's Economy

This research project evaluates the impact of devolution on economic development in Nairobi City County, focusing on employment structures, industry emergence, and wage dynamics. It examines the historical context of devolution in Kenya, its expected benefits, and the challenges faced in implementation, particularly regarding resource availability and institutional capacity. The study aims to fill gaps in existing literature by providing insights into the relationship between devolution and economic development, while also addressing the limitations and complexities of the devolution process.

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0% found this document useful (0 votes)
18 views97 pages

Devolution's Impact on Nairobi's Economy

This research project evaluates the impact of devolution on economic development in Nairobi City County, focusing on employment structures, industry emergence, and wage dynamics. It examines the historical context of devolution in Kenya, its expected benefits, and the challenges faced in implementation, particularly regarding resource availability and institutional capacity. The study aims to fill gaps in existing literature by providing insights into the relationship between devolution and economic development, while also addressing the limitations and complexities of the devolution process.

Uploaded by

superxmath
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

CHAPTER ONE: INTRODUCTION

1.0 Introduction

This Research project paper, with a case study of Nairobi City County, evaluates the impact of

devolution on economic development. This paper will concentrate on the economic development that

is pre and after devolution and employment structure, types of industries that have emerged,

employment within the country, and whether wages have emerged. Internally generated revenue

(IGR) and when devolution of power and responsibility indeed lays on track demonstrating the

economic development that is a sustenance.

The process of transferring political and economic power from the central government to lower- level

units is referred to as devolution. In Kenya, devolution has been practiced for ages, starting in the

1960s during the colonial era. There were eight bearing points with dominion status in the eight

regions in the current Kenya. Kenya became a colony and the presidential system of governance was

introduced. In 2010, a new constitution was promulgated, making Kenya a devolved governance

state, which gives the public and lower- level governments autonomy to manage their decline

resources.

1.1 Background and Context


Devolution is the transfer of power from a central government to sub national (e.g., state, regional, or

local) authorities. Devolution usually occurs through conventional statutes rather than through a

change in a country‘s constitution; thus, unitary systems of government that have devolved powers in

this manner are still considered unitary rather than federal systems, because the powers of the sub

national

authorities can be withdrawn by the central government at any time (Rodden, 2004) .

1
Throughout history, there has been a tendency for governments to centralize and hold on absolute power

over everything. With all decisions affecting the whole country being made at one central place.

( Britannica encyclopedia devolution, 2021) However in recent history people in both federal and unitary

systems have increasingly sought to reduce the power of central governments by devolving power to

local or regional governments in what is called decentralization. For example, supporters of the state

rights in the United States favored diffusing power away from Washington, D.C., toward state and local

governments. This trend was also experienced throughout the world, though perhaps the two most

notable instances of devolution occurred in France in the 1980s and the United Kingdom in the late

1990s. National governments have responded in many ways. Some have reformed to become more

democratic and tolerant to divergent opinions. Twenty-five years ago, only one-third of the world's

countries held competitive elections but today, 60 percent do (IMF 2021). Governments are also

decentralizing—shifting responsibilities and resources to sub national units of government. Both

measures provide a means of maintaining political stability and conceding political power within a

formal, rule-bound decision-making system that is acceptable to all. (World Bank, 2020)

Devolution has been successful in other parts of the world, Us, India, Nigeria, Sweden, UK and South

Africa are some of the countries where devolution has delivered the expected results in terms of

political stability and development. (Omari, Kaburi, and Sewe 2012) In the late 1980s the French

government undertook the process of decentralization and created regions and set up elected regional

assemblies. Together with the departmental councils these new bodies are charged with responsibility

for infrastructure spending and maintenance (schools and highways) and certain social spending. They

collect revenues through property taxes and various other taxes. In addition, a large part of spending is

provided by direct grants to such authorities.

In the UK, devolved government was created following a simple majority referendum in Scotland and

2
Wales in September 1997 and in London in May 1998. (Britannica encyclopedia devolution). Since

1999, devolution has transformed the way the United Kingdom is run as more and more powers have

been given the three nations which, together with England, make up the UK.

Three of the four constituent countries, namely Scotland, Wales and North Ireland, each has an elected

devolved legislature which has the ability to legislate in devolved matters. The parliament of the UK

retains sovereignty however (The United Kingdom remains a unitary state) and legislates in matters

that are not devolved, as well as having the capacity to legislate in areas that are devolved (this does

not normally occur, by constitutional convention, without the agreement of the devolved legislature).

The constitutional basis of the devolved legislatures is also controlled by Acts of the United Kingdom's

Parliament. (Weller and Wolff 2005)

Africa has been called the most centralized continent, in terms of how power is concentrated in its

capital cities. (Mwenda 2010) Recently Africans have started to react to the centralizing impulse, and

there has been a wave of decentralization in many African countries.

1.2. Statement of the problem

The impacts of devolution depend on aspects such as the power and institutional capacity of local
governments. One does not expect the same results from a local government with a budget equivalent
to two years of exploiting local minerals. This paper analyzes the extent to which these shifts enhance
development strategy relevance and result in tangible outcomes, assessing factors influencing the
successful execution of these powers. While devolution elsewhere has enhanced local development
and involved society in addressing local challenges, in Kenya, it has been seen as a cure for
mismanagement and underdevelopment. Devolution in Kenya was expected to solve problems such as
unemployment, poverty, and promote peaceful coexistence between rival ethnic communities.

Research shows that devolution is associated with economic development, improving various

dimensions of it, though proving this is complex.

3
.

1.3. Research objective

1. To examine the influence of availability of resources on the implementation of devolution in

Nairobi County.

2. To assess how existing systems, influence the implementation of devolution in Nairobi County.

3. To analyze how staff training influences, the implementation of devolution in Nairobi County

1.4. Research questions

1. How does the availability of resources impact the implementation of devolution in Nairobi

County?

2. What is the influence of existing systems on the implementation of devolution in Nairobi


County?

3. How does staff training affect the implementation of devolution in Nairobi County?

1.6. Assumption of the study

The study is based on the following assumptions:

[Link] study assumes that the researchers have the experience in the area of focus and the research

methods to be employed in order to provide comprehensive results.

[Link] research is based on the competence of Nairobi County's leaders to make the county adapt to the

current trends in urban and city development worldwide.

4
[Link] research also assumes that Nairobi County will shoulder the responsibility of resolving bottlenecks

that may appear as a result of changes in systems and structures of the city.

1.7. Justification of the study

Despite the above challenges, there is no empirical study conducted on devolution; a global practice

affecting Nairobi, which is the nerve center of Kenya and other related studies that are documented

do not capture all the required information. Furthermore, the available empirical studies on

devolution in Kenya are mainly political studies, matters to do with the importance and need for

devolving governments in Kenya and the few available seem to be specific to the other counties. A

generous assessment of the impact or output of the then newly launched devolved governments in

Kenya specific to the City of Nairobi to the conduct of the economic and prosperity which Nairobi

County was entitled is however missing. The importance of Nairobi city to the national economy

cannot be overemphasized since the city is the headquarters of all the sectors that administer and

control various activities of the nation.

The study is an attempt to fill existing gaps in the case of Nairobi County, Kenya. Even though the

metropolis is established to play a greater role in the development of the country due to various

opportunities and income it generates, the contribution of the city towards sustainably developing the

national economy is almost questionable due to some emerging challenges. This study focused on

investigating the impact of devolution on economic development of Nairobi County. In addition, the

study also aimed at investigating the challenges affecting Nairobi's economic development in the

context of the new political and administrative dispensation occasioned by the devolution process in

Kenya. The rest of the chapters are organized as follows.

5
1.8 significance of the study

Understanding the impact of devolution on economic development is crucial for policymakers,

practitioners, and academics. This study aims to contribute valuable insights that can inform policy

decisions, improve governance structures, and guide future research on the subject. The significance

of this research lies in its potential to shape the discourse around devolution and economic

development in Kenya. By unraveling the complexities of this relationship, the study aspires to offer

practical implications for policymakers and valuable knowledge for scholars in the field.

1.9 Scope of the study

The scope of this study is limited to the examination of devolution's impact on economic development

in Kenya, focusing on resource distribution, county government roles, and associated challenges and

opportunities. Limitations include potential data constraints, variations in data accuracy across

counties, and the dynamic nature of devolution itself. While the study endeavors to provide a thorough

analysis, the inherent limitations underscore the need for cautious interpretation of the findings.

Transparency regarding the study's boundaries ensures the research's credibility and informs future

research directions.

1.10. Limitation of the study


This study was not without some limitations. For example, the collection and analysis of data was

constrained by the limited time available to complete the study and the limited resources available for

data collection. Not all of the potential variables for this study were included in the survey analysis.

Without a more robust dataset, firm conclusions may not be drawn regarding the relative impact of

the variables under consideration. The study was limited to a portion of Kenya's business community.

Further research is needed to determine whether the results found in this study may be generalized to

a broader population. Some biases may have been introduced through the sampling process. In the

future, a pre-test of the survey protocol or a pilot study could have provided much useful information
6
for the final sampling protocol. Finally, this study may have failed to unpack the broader association

between devolution and economic performance of firms if the relationship between devolution and

firm factor productivity is more complex than is commonly assumed in the literature.

1.11. Theoretical framework

This research adopts a theoretical framework that draws on concepts of decentralization, governance,

and economic development. The theoretical lens will guide the analysis and interpretation of data,

providing a conceptual foundation for understanding the relationship between devolution and economic

growth. The selection of a theoretical framework is a deliberate choice, aligning the study with

established concepts and frameworks that enrich the analysis. This framework will serve as a lens

through which the study's findings can be interpreted, contributing to a deeper understanding of the

complexities inherent in the relationship between devolution and economic development.

Resource Dependency Theory (RDT), developed by Jeffrey Pfeffer and Gerald R. Salancik in 1978,

posits that organizations rely on external resources, influencing their behavior and strategies. This

theory is highly applicable in analyzing the impact of devolution on economic development in Kenya.

Local governments in Kenya depend significantly on financial allocations from the central government,

and RDT can help explore how this dependency shapes their economic strategies and outcomes.

According to Mutahaba and Mbwambo (2014), devolution can empower local governments to have

greater control over resources and decision-making processes. This can lead to a more equitable

distribution of resources across counties, ensuring that previously marginalized regions have.

Additionally, the theory can be used to examine the power dynamics between central and local

governments, assessing how these dynamics affect the execution and success of devolved functions.

RDT also provides a framework for understanding how local governments access and utilize economic

resources, such as local minerals, agriculture, and tourism, and how their dependency on skilled labor

from central agencies influences local economic initiatives. Furthermore, the theory can shed light on
7
strategic responses, such as collaborations with private entities and NGOs, and innovative measures

like public-private partnerships aimed at mitigating resource constraints. Scholars such as Barney

(1991) and Wernerfelt (1984) argue that resources, including financial, human, and natural resources,

are critical determinants of economic development. Devolution in Kenya has the potential to impact the

distribution and utilization of resources across counties, which in turn can shape their economic

development trajectories. One aspect emphasized by scholars is the potential for more equitable

resource distribution under devolution. However, it has notable weaknesses. It tends to overemphasize

external factors, potentially underestimating the internal capabilities and competencies of local

governments in driving economic development. The theory also offers a static perspective, which may

not adequately reflect the dynamic and evolving nature of resource exchanges and dependencies over

time, particularly in a rapidly changing context like Kenya. Additionally, this theory has a limited

scope, potentially failing to capture broader socio-political and cultural factors, such as ethnic dynamics

and historical inequalities that influence economic development in Kenya. Despite these limitations,

applying RDT in this research will provide valuable insights into the resource dependencies and

strategic responses of local governments, while also addressing its shortcomings by incorporating a

broader range of influences and considering the dynamic nature of resource dependencies.

(Salancik1978)

Another influential theory is the Decentralization theory which emphasizes on the transfer of power and

decision-making authority from central governments to local governments, highlighting the potential

benefits of devolution for fostering economic growth at the county level. According to scholars like

Oates (1972) and Bardhan and Mookherjee (2005), decentralization, including devolution, can enhance

economic development by allowing local governments to tailor policies and investments to local needs

and priorities. County governments, with their proximity to local communities, possess better knowledge

of local economic conditions and can design targeted development strategies. This flexibility in

8
decisionmaking enables more efficient resource allocation, leading to improved service delivery and

increased investment attraction. In Kenya, decentralization allows local governments to leverage their

intimate knowledge of regional issues, fostering tailored economic policies that can stimulate local

industries, improve infrastructure, and enhance service delivery. The theory also underscores the potential
for increased public participation and accountability, as local governments are more accessible to the

citizenry, thereby fostering a more inclusive development process.

Additionally, Prud'homme (1995) argues that devolution enhances. Accountability and responsiveness.

When local governments are directly responsible for economic development, citizens can more easily

hold them accountable for their performance. This accountability mechanism can lead to improved

governance, reduced corruption, and better utilization of resources, all of which are crucial for fostering

economic development.

However, scholars like Smoke (2003) caution that the success of devolution. In promoting economic

development depends on several factors. These include adequate fiscal resources, institutional capacity

building, and effective intergovernmental coordination. Without sufficient fiscal resources allocated to

county governments, they may struggle to implement development projects and provide essential

services. Moreover, weak institutional capacity at the county level can hinder effective policy

formulation and implementation. Another scholar, Devas and Rao (2003), highlight the importance of

citizen participation and social inclusion in the decentralization process. They argue that meaningful

engagement of local communities in decision-making can lead to more inclusive and equitable

economic development. Devolution provides an opportunity for citizen participation, enabling

communities to voice their needs and aspirations, and influencing the direction of economic

development initiatives.

However, Decentralization Theory has its weaknesses. It often assumes that local governments have the
requisite capacity and resources to effectively manage devolved powers, which may not always be the
9
case in practice. In Kenya, disparities in institutional capacity and resource endowments across different
regions can hinder the effectiveness of decentralization. Additionally, the theory may overlook the
complexities of local political dynamics, such as ethnic tensions and power struggles, which can impede
the equitable distribution of resources and benefits of devolution. Furthermore, decentralization can
sometimes lead to fragmentation and inefficiencies if local governments lack coordination and
collaboration mechanisms. Despite these limitations, applying Decentralization Theory in this research
will elucidate the potential and challenges of devolution in driving economic development in Kenya,
while also highlighting the need for capacity-building and cohesive governance frameworks to address

its shortcomings. (Manor, 1999)

1.12. Review of related literature Review

Mwangi (2010) explored the theoretical underpinnings of devolution, emphasizing the potential for local

governance structures to enhance economic development through localized decision-making and

resource allocation. Wangi’s (2010) seminal work on the impact of devolution on economic
development in Kenya provides a comprehensive analysis of how decentralizing governance can
influence economic outcomes. By examining various regions within Kenya, Mwangi investigates the
extent to which devolution has enabled local governments to tailor economic policies and initiatives
to their specific needs, thereby fostering more inclusive and equitable development. He highlights
several key benefits of devolution, including improved resource allocation, enhanced accountability,
and greater public participation in the decision-making process. Mwangi also identifies challenges
such as uneven capacity among local governments and potential conflicts between national and local
authorities. Overall, the research underscores the potential of devolution to drive economic growth and
development, provided that it is implemented with adequate support and oversight mechanisms to
address the inherent challenges. This foundational work set the stage for subsequent empirical studies.
Kimenyi and Meagher's (2014) influential research on the impact of devolution on economic development

in Kenya offers a thorough exploration of how decentralizing governmental authority has reshaped the

country's economic landscape. Their work delves into the theoretical and practical implications of
devolving power from the central government to county governments, assessing both the opportunities
and challenges this shift presents. They argue that devolution holds significant promise for enhancing
economic development by fostering local governance structures that are more responsive and accountable
to the unique needs of their constituencies. This, in turn, can lead to more effective and equitable public
service delivery, improved infrastructure, and a more conducive environment for local economic activities.

The authors also highlight the potential for devolution to reduce regional inequalities by empowering
historically marginalized areas, thus promoting a more balanced national development. However, they
caution that the success of devolution is contingent upon several critical factors, including the capacity of
10
local governments to manage resources efficiently, the establishment of robust institutional frameworks,
and the need for effective coordination between national and county governments. Kimenyi and Meagher
emphasize the importance of continuous capacity building, transparent governance practices, and the
active involvement of civil society to mitigate risks such as corruption and mismanagement. Their
comprehensive analysis underscores that, while devolution offers a promising pathway to economic
development, its implementation requires careful planning and sustained commitment to overcome the

multifaceted challenges and realize its full potential.

11
Cheeseman, Lynch, and Willis (2016) on the impact of devolution on economic development in
Kenya
provides a nuanced and in-depth examination of how the dispersion of political power to local entities
has influenced the country's economic trajectory. Their study situates the Kenyan experience within
broader theoretical debates on decentralization, drawing on a wealth of empirical data to analyze the
outcomes of devolution since its implementation following the 2010 constitutional reforms.

Cheeseman, Lynch, and Willis argue that devolution in Kenya has yielded mixed results, with
significant variations across different counties. On one hand, they highlight several success stories

where local governments have effectively harnessed devolved funds to spur development projects,
improve public service delivery, and stimulate local economies. These successes are often attributed
to strong leadership, effective governance structures, and active civic engagement. On the other hand,
the authors identify numerous challenges that have hindered the anticipated economic benefits of
devolution. These include issues such as entrenched patronage networks, uneven administrative
capacities, and fiscal mismanagement. Moreover, the study underscores the persistent tensions
between national and county governments, which have sometimes led to conflicts over resource
allocation and policy implementation. Cheeseman, Lynch, and Willis also point to the importance of
addressing regional disparities and ensuring that devolution does not exacerbate existing inequalities.

They advocate for continuous reforms to enhance transparency, accountability, and efficiency in
local
governance. Their work ultimately suggests that while devolution has the potential to drive economic
development in Kenya, realizing this potential requires addressing the structural and political
challenges that undermine its effectiveness. Through a detailed and balanced analysis, the authors
contribute significantly to the understanding of the complexities and dynamics of devolution in Kenya,
offering valuable insights for policymakers, scholars, and practitioners interested in decentralization

and development.
More recent studies, such as those by Otieno and Ochieng's (2019) provides an insightful analysis
into the transformative potential and challenges of decentralizing political and economic power. Their
research delves into the post-2010 constitutional era, which marked a significant shift aimed at
fostering local autonomy and promoting equitable development throughout the country. Otieno and

Ochieng highlight several positive outcomes associated with devolution, including improved access
to public services, enhanced infrastructure development, and increased local participation in
governance. By decentralizing decision-making processes, many counties have been able to tailor

development initiatives to their specific needs and priorities, leading to more responsive and effective

12
policy implementation. For instance, the authors document cases where devolved funds have been
used to build roads, schools, and healthcare facilities, which have had a direct impact on the quality
of life and economic opportunities for local populations. However, Otieno and Ochieng also identify
significant obstacles that have impeded the full realization of devolution's potential benefits. These
challenges include persistent issues of corruption, inefficiency, and the uneven capacity of county
governments to manage devolved functions effectively. The study underscores that while devolution
has brought governance closer to the people, it has also exposed and, in some cases, exacerbated local
power struggles and resource mismanagement. Additionally, the authors point out the critical need for
ongoing support and capacity-building initiatives to strengthen local institutions and ensure that they
can meet their developmental mandates. They emphasize the importance of fostering a culture of
accountability and transparency to mitigate the risks associated with decentralized governance. Otieno
and Ochieng conclude that while devolution represents a promising framework for promoting
economic development in Kenya, its success hinges on addressing these multifaceted challenges
through sustained political will, strategic planning, and robust oversight mechanisms. Their work
provides a valuable contribution to the discourse on decentralization, offering practical
recommendations for enhancing the effectiveness of devolution in fostering inclusive and
sustainable

economic growth

Ngugi and Wanjiru's (2021) exhaustive study on the impact of devolution on economic
development
in Kenya offers a contemporary and critical examination of how the decentralization process has
reshaped the country's socio-economic landscape. Their research, grounded in extensive fieldwork
and data analysis, provides a detailed narrative of both the successes and persistent challenges faced
in the implementation of devolution since the promulgation of the 2010 Constitution. Ngugi and

Wanjiru highlight that devolution has significantly contributed to enhancing local governance and

economic development by bringing decision-making closer to the people. They document numerous
instances where counties have utilized devolved funds to address local needs more effectively, leading
to improvements in infrastructure, healthcare, education, and agricultural productivity. For example,
their analysis shows how some counties have innovatively invested in local industries and small-scale
enterprises, thereby boosting local economies and creating employment opportunities. However, the
authors also underscore the uneven impact of devolution across different regions, attributing
disparities to factors such as varying levels of administrative capacity, local leadership quality, and
the prevalence of corruption. They point out that while some counties have thrived, others have
struggled with inefficiencies and resource mismanagement, which have hindered their developmental

13
progress. Ngugi and Wanjiru stress the importance of building stronger institutional frameworks and
enhancing the capacity of local governments to manage resources effectively and transparently. They
also discuss the role of intergovernmental relations in ensuring that national and county governments
work collaboratively rather than competitively, which is crucial for the coherent implementation of
development policies. Furthermore, their study highlights the significance of civic engagement and

14
the need for fostering a participatory culture where citizens actively contribute to and monitor the

governance process. Ngugi and Wanjiru conclude that while devolution has the potential to drive

significant economic development in Kenya, its success is contingent upon addressing systemic

issues

such as governance, accountability, and equitable resource distribution. Their work provides a
nuanced understanding of the complexities involved in the devolution process and offers policy
recommendations aimed at strengthening the decentralization framework to realize its full

developmental benefits.

Oates' (1972) seminal work on fiscal federalism lays the foundational theoretical framework that has
greatly influenced subsequent analyses of devolution and economic development, including those
examining the Kenyan context. In his influential book "Fiscal Federalism," Oates introduces the

principle of decentralization, arguing that local governments are better positioned to understand and
cater to the specific needs and preferences of their constituencies compared to a centralized authority.

This principle has had profound implications for the design and evaluation of devolution policies
worldwide, including in Kenya. Oates posits that decentralized governance can lead to more efficient
resource allocation, as local governments are more attuned to the unique economic and social
conditions of their areas. This theoretical underpinning is crucial for understanding the rationale
behind Kenya's adoption of devolution following the 2010 constitutional reforms aimed at addressing
regional disparities and fostering inclusive development. Oates' work suggests that by empowering
local governments, devolution can enhance public service delivery, promote accountability, and
stimulate local economic growth. However, his analysis also highlights potential pitfalls, such as the
risk of fiscal mismanagement and the need for adequate institutional capacity at the local level. These

insights are particularly relevant for Kenya, where the effectiveness of devolution has been uneven

28
across different counties. Oates' framework underscores the importance of establishing robust

intergovernmental fiscal relations and ensuring that local governments have the necessary fiscal

autonomy and administrative competence to manage devolved functions effectively. His work also

emphasizes the role of citizen participation in governance, which is critical for ensuring that
devolution leads to tangible improvements in economic development. By applying Oates' principles,
policymakers and scholars can better understand the challenges and opportunities associated with
devolution in Kenya, and design interventions that enhance the capacity of local governments,
promote transparency, and foster a more equitable distribution of resources. Thus, while Oates'
original work did not specifically address Kenya, its theoretical contributions provide a vital lens
through which the impact of devolution on economic development in Kenya can be analyzed and
understood.
Smoke's (2003) influential work on decentralization and local governance provides a comprehensive
analysis that has significant implications for understanding the impact of devolution on economic
development in Kenya. Smoke argues that effective decentralization requires more than just the
transfer of responsibilities from central to local governments; it necessitates the establishment of
robust institutions, adequate local capacity, and sound intergovernmental relations. He emphasizes the
importance of fiscal decentralization, where local governments must have sufficient financial
resources and autonomy to make meaningful decisions and implement development projects. This
perspective is particularly relevant to Kenya, where the 2010 constitution aimed to empower counties
with greater fiscal and administrative autonomy to address regional inequalities and promote local
economic development. Smoke highlights that successful decentralization can lead to improved
service delivery, enhanced local accountability, and increased citizen participation in governance, all

of which are crucial for fostering economic development. His work also underscores the challenges

that can undermine the effectiveness of decentralization, such as limited local capacity, weak

institutional frameworks, and the persistence of centralized control over critical resources. In the

Kenyan context, these challenges are evident in the varied performance of different counties, where
disparities in administrative capabilities and resource management have led to uneven developmental
outcomes. Smoke's analysis suggests that for devolution to be successful in Kenya, there must be
continuous efforts to build local capacity, establish clear and transparent intergovernmental fiscal
frameworks, and foster a culture of accountability and civic engagement. Furthermore, Smoke points
out the necessity of balancing decentralization with national oversight to ensure coherence in policy
29
implementation and to mitigate the risks of local elite capture and corruption. His work provides a
nuanced understanding of the complexities and prerequisites of effective decentralization, offering
valuable lessons for policymakers and practitioners working to enhance the impact of devolution on
economic development in Kenya. By applying Smoke's principles, Kenya can better navigate the
challenges of decentralization and harness its potential to drive inclusive and sustainable economic

growth.

In a more recent study, Cheeseman, Lynch, and Willis (2016) examined the political dimensions of

devolution in Kenya, noting that while devolution has the potential to promote economic

development, it also poses significant challenges, including the risk of reinforcing ethnic divisions

and fostering local-level corruption. Their research, conducted in the years following the

implementation of Kenya 2010 constitution, underscored the complex interplay between political

dynamics and economic outcomes in the context of devolution.

Another important contribution to the literature came from Kimenyi (2013), who focused on the

economic impacts of devolution by analyzing data from Kenyan counties. Kimenyi research

indicated that devolution could lead to more equitable economic development across regions by

addressing historical disparities in resource allocation. However, he also warned that without proper

oversight and capacity building at the local level, the benefits of devolution might not be fully

realized. Additionally, Chitere and Mutiso (2015) provided a critical assessment of the initial

implementation phase of devolution in Kenya. Their study highlighted both successes and failures,

noting that while some counties had made significant strides in improving infrastructure and service

30
delivery, others struggled with issues such as financial mismanagement and inadequate human

resources Bosire and

Gikonyo (2013) offer a seminal exploration of the impact of devolution on economic development in

Kenya, providing an in-depth examination of the initial phases of the devolution process following

the promulgation of the 2010 Constitution. Their work is pivotal in understanding how the shift from

a centralized system to a devolved structure has influenced economic activities and governance at

the county level. They argue that devolution holds significant promise for enhancing economic

development by bringing government closer to the people, thereby improving the efficiency and

responsiveness of public service delivery. The authors highlight that devolution can foster regional

development by allowing counties to tailor their development strategies to local needs and priorities,

thereby addressing historical imbalances and promoting equity.

Bosire and Gikonyo (2013) employ a multidimensional analytical framework to assess the

economic outcomes of devolution, considering factors such as fiscal decentralization, local revenue

generation, and the impact on public investment. Their findings indicate that while there are notable

successes in

certain counties that have effectively harnessed devolved funds for infrastructure development and
social services, there are also significant challenges that undermine the potential benefits of
devolution. These challenges include disparities in administrative and technical capacities among
counties, which affect their ability to plan and implement development projects effectively. The study
also points to issues of corruption and mismanagement of resources as critical impediments to
achieving the desired economic outcomes. Moreover, Bosire and Gikonyo (2013) discuss the
complexities of intergovernmental relations, noting that conflicts between national and county
governments over resource allocation and jurisdictional boundaries can stifle development efforts.
31
They emphasize the need for clear regulatory frameworks and effective oversight mechanisms to
ensure accountability and transparency in the management of devolved funds. The authors also
advocate for enhanced capacity-building programs to equip county officials with the necessary skills
and knowledge to manage resources efficiently and drive economic development. Overall, the work
of Bosire and Gikonyo (2013) provides a balanced perspective on the early impacts of devolution in

Kenya, acknowledging both the opportunities and the challenges. Their research underscores the
importance of strengthening institutional capacities and governance frameworks to fully realize the
economic development potential of devolution. By highlighting these critical areas, their study
contributes valuable insights to policymakers, scholars, and practitioners interested in the dynamics
of decentralization and its implications for economic growth and development in Kenya

32
Wagana et al. (2019) provide a comprehensive analysis of the impact of devolution on economic
development in Kenya, focusing on the intricate dynamics of decentralization and its multifaceted
effects on local economies. Their study delves into the potential of devolution to enhance economic
growth through improved public service delivery, increased public participation in governance, and
more equitable resource distribution. The researchers employ a mixed-methods approach, combining
quantitative data analysis with qualitative insights from various stakeholders, including local
government officials, community leaders, and residents. Their findings reveal that devolution has had
a significant positive impact on economic development in some regions, particularly through the
mobilization of local resources and the creation of more responsive governance structures. However,
the study also highlights substantial challenges that impede the full realization of devolution's benefits.

These challenges include disparities in the capacity and efficiency of county governments, pervasive
corruption, and bureaucratic inefficiencies that hinder effective service delivery and resource
allocation. Wagana et al. (2019) underscore the importance of robust institutional frameworks and
capacity-building initiatives to address these challenges, emphasizing that sustainable economic
development under devolution requires a concerted effort to strengthen local governance structures and
promote transparency and accountability. Moreover, the study points to the need for continuous civic
education to empower citizens to effectively participate in governance processes and hold their leaders
accountable. By providing a nuanced understanding of the successes and limitations of devolution in

Kenya, Wagana et al. (2019) contribute valuable insights into the ongoing discourse on decentralization
and its role in fostering economic development. Their work underscores the critical importance of
addressing structural and systemic issues to harness the full potential of devolution for sustainable and

inclusive economic growth in Kenya.


Scholars have studied significant features of political devolution in Kenya, but not particularly the impact

of devolution on economic development. In Africa, most of the research conducted has been on the effect

of decentralization on the allocation of expenditure responsibility, the design of intergovernmental

equalization grants and transfer formulas, the development of sub-national infrastructures, and the

capacity of regions to enhance economic growth and poverty alleviation. According to Country Policy

and Institutional Assessments (CPIA), only 3 out of the 10 questions tracked by the World Bank for

review and improvement of public expenditure are being fulfilled by the Kenyan Parliament.

1.13. Knowledge gap

The extensive body of literature on devolution in Kenya highlights numerous insights into its potential and
33
challenges, yet significant knowledge gaps remain. While studies by Mwangi (2010), Kimenyi and

Meagher (2014), Cheeseman, Lynch, and Willis (2016), Otieno and Ochieng (2019), and Ngugi and

Wanjiru (2021) provide comprehensive analyses of the economic, political, and social impacts of
devolution, they predominantly focus on the theoretical underpinnings, empirical outcomes, and
implementation challenges of decentralization. These works emphasize the importance of local
governance, enhanced public service delivery, and regional equity but often underscore the uneven capacity
of local governments, issues of corruption, and intergovernmental conflicts. Despite these significant
contributions, there is a notable gap in the detailed examination of the specific mechanisms through which
devolution directly influences economic development outcomes at the granular level across different

regions.
Additionally, while Oates' (1972) and Smoke's (2003) theoretical frameworks on fiscal federalism and
decentralization provide foundational understanding, the application of these principles in the Kenyan
context lacks in-depth empirical validation. Furthermore, much of the existing research, such as by Bosire
and Gikonyo (2013), Chitere and Mutiso (2015), and Wagana et al. (2019), highlights mixed results and
regional disparities without fully exploring the underlying factors contributing to these variations. The
literature also points to the critical need for ongoing capacity building, transparency, and civic engagement
but falls short in providing actionable strategies and frameworks for enhancing local governance

effectiveness.

Moreover, while the broader African context of decentralization has been explored, there is limited
comparative analysis that situates Kenya's experience within this larger framework to draw more
generalized conclusions or best practices. Thus, future research should focus on filling these gaps by
providing a more granular analysis of regional economic outcomes, developing robust empirical
methodologies to validate theoretical frameworks, and offering practical strategies for overcoming the

systemic challenges identified in the implementation of devolution

1.14. Research Methodology

The qualitative research paper utilized a case study research design since the study was interested in

exploring in detail the research problem in the Nairobi County Council. Data collection techniques

used in this research paper included personal observations, interviews, and focus group discussions.

The data gathered was qualitative in nature thus the study employed thematic analysis to analyze the

data gathered. This paper concluded that poor leadership, lack of accountability, and corruption, among

34
others, impact negatively on the county performance impacting the economic growth and development

of the county. The study recommended that the senior members of the county council needed to

improve their management skills by treating staff with respect, accountability, and being more

transparent.

The research paper employed a descriptive cross-sectional research design to allow the researchers to

determine the existing relationships that existed between different variables in Nairobi County. The

study sampled a research population of 28 employees at the budget office in the County government

of Nairobi. Stratified random sampling was used to select the sample size. Both primary and

secondary data were collected, and descriptive and inferential statistics were used in the analysis.

1.14.1 Research Design

This study took on a descriptive research design. The study was designed as a stand-alone research to

establish the effect of devolution on economic development. The study findings were descriptive in

nature. The data collection methods included the use of, interview schedules, and direct observation. The

target populations were primary data and secondary data. The sources of primary data were residents of

Nairobi County assembled in different strata. For residents, the sample size was

determined using Fisher's Formula while secondary data were obtained from journal articles, journal
publications, government documents, and newspapers.
1.14.2. Area of study

The County's large population size enables it to become a significant market for both local and

foreign investors. The various ports, the presence of international airports, and the country's largest

national park which accommodates the Nairobi Express southern bypass underway respectively ease

transportation, movement of goods, and mitigate congestion. These are some of the spaces of highrise

business buildings that are gated with important government ministries, departments, and a majority

35
of embassies. Over and above, Nairobi is the meeting place, cultural, and entertainment capital for

many Kenyans. With a rich mix of various ethnic communities, the city offers numerous cultural

activities, businesses, and social clubs throughout the year. These dynamics and infrastructural

developments illustrate Nairobi County as the most important and visibly developed city in the

region.

The study sought to establish the impact of devolution on economic development by evaluating the

performance of Nairobi County. Nairobi County is the principal economic center of Kenya and the

region. The city is commonly referred to as the "Silicon Savannah" due to its unique position as the

only capital city with a national park in the world. Based in Nairobi City is the nation's seat of

government and is the largest single market among the 47 Counties. Various multinational companies,

non-governmental organizations, and international financial institutions have either their regional or

continental headquarters in Nairobi due to its strategic location and facilities. Equally, all major

business and administrative activities take place in Nairobi, thus making Nairobi City the

administrative and commercial capital of the Republic of Kenya.

1.14.3. Target population

To examine convergence or divergence so as to facilitate validation. Data credibility also helped

ensure that key informant information was reliable and accurate. The target population for this study

is all governors, members of the county assembly, ward administrators, chief officers, heads of

procurement, and accounting officers within the Nairobi County Government (NCG). Due to the fact

that the target population is a small number, approximately 70, no sampling was done, and all

members constituted the study given the manageable population for conducting a comprehensive

research.

36
1.14.4. Sampling procedures

Sampling is a technique of choosing a subgroup from a population to actively participate in the study.

Mugenda (1999), research sampling will give a detailed study, and the researchers will use the

information derived from the sample to analyze valid generalization about the population. Purposive

sampling comes from the word purpose, and the procedure depends on the subjective judgment of the

researcher. It means the researcher will choose those who give information for the research, Mugenda

(2012). Snowball sampling is where the researcher used respondents to get other respondents. The chain

referral process will enable the researcher to reach out to populations that are difficult to sample when

using other sampling methods. The process is cheap and cost-efficient; this sampling technique requires

little workforce compared to other sampling techniques and needs little planning (Mugenda & Mugenda,

1999).

1.14.5. Research instruments

Michael Quinn Patton (2015) defines a research instruments as any tool or procedure used to collect

data for evaluation purposes. This can include surveys, interviews, observations, focus group

discussions, document analysis and other methods. What precise evaluation questions the assessor is

attempting to answer will determine whatever research instrument they choose.

Interview Guide

An interview guide is a vital research instrument for a research proposal on the impact of devolution on
economic development in Nairobi County, Kenya, as it provides a structured framework for collecting in-
depth qualitative data from key stakeholders involved in the devolution process. This guide typically
includes a series of open-ended questions designed to explore various dimensions of devolution, such as
the allocation of resources, decision-making processes, implementation challenges, and perceived
economic outcomes. By engaging with government officials, policy makers, local business leaders, and
community representatives, researchers can gather diverse perspectives on how devolution has influenced
economic activities, investment opportunities, and service delivery in Nairobi. The interview guide
ensures that all relevant topics are covered systematically while allowing flexibility for interviewees to
provide detailed and nuanced responses. This approach facilitates the identification of patterns, insights,
and potential areas for policy improvement. According to scholars like Kvale (1996), well-crafted

37
interview guides enhance the reliability and validity of qualitative research by ensuring consistency across

interviews while capturing the richness of participants' experiences and views


Focus Group Discussions

Focus groups have been used to gather information from a small group of people who are talking about

a specific issue, according to Michael Quinn Patton (2015). Focus groups can be a helpful tool for

gathering opinions on a certain topic or for getting feedback on a product or service aids a researcher in

maintaining the discussion's relevance, focus, and productivity Jane Farley (1994). Researchers can find

common themes, patterns, and trends by transcribing and analyzing data with the help of focus group

sessions. The results are often given narratively to highlight the range of remarks made by the

participants. Numerous industries, such as county governments, the social sciences and healthcare use

focus groups extensively. Aids in the researcher's concentration on experiences and viewpoints

regarding the effects of devolution on the goals, successes, difficulties, and possible future

developments of economic development. They provide deeper insights into the beliefs and actions of

participants as well as valuable qualitative data to support quantitative research methods.

Document Analysis Guide

Document analysis is a research method that looks at and evaluates spoken, written, or visual sources to

get information and ideas that can be applied to a project. It can include written works, policy papers,

historical documents, government reports, media content, and other types of documents. In order to

inform decision-making in the present and future regarding devolution activities, document analysis will

assist researchers in creating a thorough narrative of the organization's past by obtaining information

from historical records and primary sources. Researchers can have a broader knowledge of

understanding on the impact of devolution on economic development in Kenya

1.14.6. Validity and Reliability

38
Open-end questions were reduced to close ones as only 50 variables were to be entered into the

computer. Study results could then be tested and assurance could be made that the instruments would

work. The questionnaire was considered valid to elicit the necessary descriptive facts about the

respondents then the researcher commenced with data gathering and by using primary sources to

capture developments within the realm of Nairobi City. Control was made in the collection of data, by

observing the ethical considerations that were involved. Proper documentation meant accountability.

For questionnaires, a return date was agreed upon when students would present them to their desk in

the academic institution for data entry. Data were separated per the provided questions to maintain

congruence and comparability. The structured questions ensured that the data required align with the

hypothesis necessitated. Carry along provincial cross-ethnic balance as a control. The research took

about two weeks. Suited personnel were solicited in each territory who would ask the twenty

questions in the forms and fill this in after completion.

A reliable measure gives similar results on repeated use if the attribute has not changed, while a valid

measure gives the true measure of the attribute. I was tasked with the collection of primary data from

the 17 divisions of Nairobi City County. A pilot test was first conducted, using 30 structured

questions. This figure was deemed sufficient for a pilot test and the actual test. Only general questions

were used in the pilot study, especially those appearing in the socio- demographic unit.

Testing the relativity and reliability of questions on socio-demographics, for example, testing if the

level of education should be skewed along public primary and secondary, private primary and

secondary and university or college. This was necessary as the data collection team were newly

graduated students and required to be as professional as possible. Having gone through loaded

professional courses in research methods, data collectors were required to conduct primary research

which abides by the tenets of research practice. Questions about subjects required handling should

arise without potential for ambiguity. Answers to be programmed had to be made unique and final

39
with no possibility for any further confusion. Any discrepancies in the meanings attached to research

questions had to be nullified.

1.14.7. Data collection procedures

A letter of introduction was received from the Catholic University of Eastern Africa before data

collection, and it was sent to respondents to reveal the researcher's name. The respondents were also

given clarification regarding the goal, timeline, and possible applications of the study findings.

Interviews with study participants were conducted exclusively with individuals who consented to

participate during the fieldwork. Additionally, informants were made aware of their freedom to leave the

study at any time. The researcher maintained the secrecy of the material she obtained, and the study did

not utilize or mention the respondents' names.

1.14.8. Data analysis and presentation

The researcher collected data and analyzed it in reference to the study objectives of economic

performance, governance, and its relation to the realization of economic performance. In line with the

study objectives, descriptive statistics were used to draw an overall picture of economic performance

of devolution of Nairobi County. The analysis consists of calculating measures of central tendencies

such as the mean value, while measures such as percentages, frequency distribution, and graphical

presentations. Descriptive statistics assist in describing data and summarizing it. It enables one to

draw conclusions or generalizations from the data collected. Descriptive statistics reduce the data to a

simpler form without losing any information contained in the data. The mean was used to measure

central tendency and draw conclusions. It represents an estimated value of the study finding given a

certain assumption of the data collected. Descriptive statistics have the advantage of being

straightforward and easily interpretable, enabling the researcher to summarize a large data into a few

understandable figures

40
The portion of this study mainly involved the presentation and analysis of data collected for the

purpose of investigating the impact of devolution on economic development: a case of Nairobi

County. In view of achieving the above objective, data was collected using an interview schedule. In

order to make interpretation and analysis easier, the study consisted of open and close questions. The

questions were categorized in line with the study objectives, thereby enabling the researcher to

exhaust critical areas that would bring out every bit of data required for analysis. Interview schedules

have the capacity to provide rapport and allow for a dialogue between the researcher and the

interviewee, thereby reducing chances of misinterpretation. This technique is also advantageous

because the researcher can re- administer the schedule several times, thereby enabling collection of

detailed and in-depth information. The researcher administered face-to-face interviews and distributed

the study schedule to respondents who filled out the questions.

1.14.9. Ethical and logistical considerations

The principal administrative resource needed for the research was information. Every effort was made

to enhance the transparency of the information in order to consistently assist the respondent to supply

the best data. Another resource requirement was the access to the respondents. Scheduling interviews

with all due care before visiting helped in maximizing the potential for a motivated respondent. Data

was presented in the most understandable way to assist the respondents. The respondents were also

thanked for having contributed to the research. Prior to the start of interviewing all respondents, a

letter of introduction was prepared and signed by their county executive addressing the background,

purposes, content, limitations, and risks of the proposed project. Researchers working on a task-

centered contract basis were recruited for data entry. All researchers and enumerators were

professionally trained in data collection protocols prior to administration. The professional and trained

researchers walked through the sample neighborhoods to assess the length of interviews and draft

41
corresponding protocols for all possible individual neighborhood combinations. Data will be sent for

professional translation; it will be back- translated and made public.

The principal ethical issue that was anticipated is harassment or discomfort through relentless

inquiries. Strategies for skirting these issues included ensuring minimal exposure of respondents to

the questionnaire and minimizing the length of administration. Administrative considerations pertain

to the successful identification of all representatives of the population. Where precision is a priority, a

census approach helps in preventing the generality of results obtained from a survey. Ethical clearance

was sought for the research from the University of Nairobi. The research respected privacy by

explaining strict confidentiality as to the content of the responses to the respondents. Consent to seek

permission was obtained from the Nairobi City County Office. Individual consent was obtained from

the respondents of the research in the process of conducting the field study.

CHAPTER TWO

The Influence of Resource Availability on the Implementation of Devolution in Nairobi County

2.1. Importance of Resource Availability in Devolution

Financial resources were required for budget allocation, development of a financial plan, annuity and

development expenditure, implementation of decentralized structures, creation of effectively functioning

graduation of staff and infrastructure, control and management of expenditures, income collection, and

local fundraising. Moreover, capital investment was required for the construction and operation of

public services and facilities. This financial capital was required to meet their administrative, operating,

and maintenance costs. Operating resources were necessary for the operation of public services and

facilities. Moreover, human resources were required to promote the effectiveness, efficiency, and

appropriateness of the implementing body in general. Such human resources included district planning

authorities, decentralized units (DRs, DDRs, DDCs, DGs, and DGOs), and other supporting bodies (post

42
and telematics service, help desks). Completed service units were material resources that were required

for providing public services aimed at satisfying community needs. Finally, institutional resources were

necessary for giving power and resources to legally-constituted governing bodies. Such governing

bodies included local government, training, support, development, and compliance with local rules

(Christopher

Pollitt, 2000)

One of the huge expectations from the devolution was faster economic growth, job creation, and

accelerated infrastructural development at the local level. This was attached to the fact that the devolved

function centered on primary economic and infrastructural services. They included culture, healthcare,

roads, public works, sports, vocational training, tertiary education, supply of water, garbage removal,

agriculture, trade, public transport, local development, environment, supporting local economic

development, and electricity and gas. The successful undertaking of these functions depended on the

level of resources that were availed to implement these devolved functions. Therefore, the availability

and allocation of resources had to be provided for and guaranteed such that the function could be

undertaken effectively and efficiently. Such resources included finance (financial and capital

investment), human resources (personnel, skills, and training), and institutional resources. (Smoke 2001)

The Senate approved the county allocation bill on June 01, 2023. According to the Senate, all the 47

counties have been guaranteed equitable distribution of resources through the devolved system of

governance in the revenue allocation bill, as required by the constitution, to ensure each county is

capable of effectively implementing the budgetary reforms. The overall picture of the county

expenditures revealed that 56.9% of the total budgetary allocation was supposed to go into recurrent

expenses, with

43.1% left for development. The budget was supposed to be shared among the sectors captured above.

This illustrates how devolved units of the government address the issue of distribution and resource

43
allocation to bring closer to the people, in line with the Constitution 2010, which provided for

devolution. The view is that it would ensure access to development and resources for all. The study sets

forth three areas to examine: first, the resource allocation mechanism that informs the NCCG; second,

how the revenue allocation bill informed the devolved formula; and lastly, the implementation status of

the budgetary allocations to the sectors. (Ndii 2010)

(Kemunto, O. I 2024) the financial allocation to Nairobi County government is a contentious issue. Not

only is Nairobi County government supposed to bear the heavy responsibility of providing services to

its residents, but it is also the seat of the national government. It hosts many international agencies,

several diplomatic missions, and is the dock of most regional and international flights, and functions.

This has put a heavy operational and management cost on the city. The transfer of municipal services to

them, alongside three times more residents than the next populous, is grossly underfunded. It is for this

reason that Nairobi County was allocated more resources than Kitui County, Elgeyo Marakwet, and

Samburu County.

Devolved governments need sufficient resources if they are to demonstrate that they are making a

difference in the lives of citizens. With political devolution expected to trickle down in time to become

administrative, policy, and fiscal devolution in Kenya involves assigning a range of functions to county

governments. In implementing these functions, counties require commensurate resources. This invariably

makes resource availability a critical yardstick, especially as the debate surrounding the performance of

devolution begins taking note of the actual service delivery occurring within the counties.

Decentralization reforms commonly fail due to inadequate or lack of requisite devolved resources.

Further, a range of views on the performance of several other decentralization reforms elsewhere are

rooted in the resource availability at the local levels. Reference to the available evidence on the Kenyan

experience further underscores the importance of resource availability, particularly on the execution of

devolved functions, where it has already been identified as a significant barrier. (Schroeder 2003)

44
Resource availability in this study is conceptualized as the adequacy or scarcity of the various types of

resources specified in the Transfer of Functions Matrix (TFM) necessary for the effective implementation

of devolved functions. Most research on resource availability at the county level has concentrated on

fiscal devolution, that is, whether county governments have enough financial resources to enable them to

discharge their functions. This study, on the other hand, was keen on a range of public resource types

including financial, human, physical, regulatory, and information resources. Placing these resources into

focus brings to light the multifaceted nature of resource availability. Emerging from this perspective, this

study will establish both how devolution is being facilitated and the likely configurations of outcomes if

and when resource scarcity occurs. (Ndii 2010)

2.2. Effects of Limited Resources on Devolution Implementation

Winnie Mitulla (2015) examines governance under devolution in Kenya, including the challenges related

to resource management at the local level. This help in analyzing how limited resources impact the ability

of counties to achieve economic development goals. Efforts to enhance the capabilities of the county

government and to enhance its governance capacity are underway. Because of this, the county is suffering

from a painful capacity crisis. The county council is expected to perform numerous complex

responsibilities and mandates and provide facilities to the overburdened Kenyan local government so that

it can successfully champion the national development agenda. Finally, the transition to the government

of the city presents strong risks to the discovering of weaknesses in the implementation of a developed

Nairobi County government with a constitutional mandate.

Rosemary Atieno (2019) explores how limited resources affect the practical implementation of devolution

in Kenya and its subsequent impact on economic development. This provides a foundational

understanding of the challenges faced in resource allocation and utilization. The schedules of devolution

operations and functions are laid out in the Fourth Schedule of the Constitution of Kenya. Historically,

before devolution, functions such as trade, health, and transport were allocated substantial resources by
45
past central governments. The case was different for minor lines such as gender, water, and agriculture.

Today, these functions assigned to the county are performed by the county assemblies, county executives,

and county public service teams. Since the introduction of devolution, Kenyan local governments,

especially the cities, have been struggling to build up the necessary professionals to take on their different

duties. Generally, these professionals are short-staffed and low- paid, and the care in the county

governments is also lacking. The practical, financial, human resources, political will, constraints, and

difficulties faced by all Kenyan local governments will continue to have an impact on the functioning of

all devolution entities.

Thus, the strategy for resource mobilization should be of high priority.

2.3. Strategies to Improve Resource Allocation for Devolution in Nairobi County

Elinor Kostroma (1990) argues that if there is no restitution of this, then devolution and its gifts could

turn into challenges for the citizens. County/national sub-governments are urged to devise strategies to

ensure ample resources to empower the premier accused individual and entity at the center of the

unfilled expectations, that is, the WBEs, the purported beneficiaries of devolution. They could collect

taxes zealously in such a way as to leave enough money at the ward level. Necessary overrides or

nullification of bylaws rampant in rebellious wards are known to be very potent. Preferred forms of

public goods, as long as they are perfectly complementary with all other public goods, may favor

minority priorities of the shadow government for the real public goods.

The project will assess the impact of the availability of these resources on the implementation of

devolution in Nairobi, specifically focusing on the challenges and constraints that the devolved

administration has to overcome in order to provide its citizens with basic services. This is necessary to

establish why devolution is not taken into consideration, or if it is taken into consideration, why its

implementation is slow.

46
Wallace E. Oates (1999) provides a comprehensive overview of the theory and practice of fiscal

federalism, discussing the allocation of resources and responsibilities across different levels of

government. This work aligns closely with the themes in your text, such as the financial resources

provided by the central government, the responsibilities of county governments, and the importance of

leadership and accountability in service provision for the purpose of this research, resources refer to the

financial resources provided by the Central government that include donor funds, internally generated

revenue, grants, and the equitable share. These funds are expended on recurrent spending, capital

expenditure, and development activities that undeniably represent the county government's

responsibilities toward its citizens. These responsibilities are stipulated in the country's constitution,

which introduces a three-tiered system of government necessary to provide leadership and

accountability in the provision of services to the citizens.

2.4. Impact of Resource Availability on Service Delivery in Nairobi County

Richard M. Bird (2000) explores the issues of fiscal decentralization, the challenges of local revenue

generation, and the design of intergovernmental transfers. His analysis is pertinent to the discussion of

the funding formula, resource allocation, and statutory amendments needed for effective devolution in

Kenya. In Kenya, service delivery reports indicate that the present funding formula does not correspond

to the service delivery aspects and the vast funding gap. The counties have limited taxation and other

revenue raising capacity compared to the services the national government has devolved further. The

counties depend heavily on the national government for funding and that there is a lack of clarity in the

revenue sharing formula. The amount of resource transferred to the counties is determined by the

national government and is at the minister's discretion. These reflect the performance and capabilities of

the counties thus assessment is needed in the statute and regulations. This statutory amendment is

essential to fast track the implementation process by giving counties property rights over the resources.

Further, the central treasury reduced the county resources in 2013-2014 financial year thus causing a
47
major financial crisis within the devolved units. The process of county government's budget allocation

process is a crucial tool in implementation of devolved functions and the ultimate realization of the

noble goals of creation of counties and purported benefits. The financial autonomy of the counties

enables the resources to the counties enhancing checks and balances between the county government

and the local authority minister. As per the stipulated guidelines the counties initially create law to

circulate functions between county and national government and assign funds to the prescribed

functions from national government transfer made to the county government's account. Hence, the

underlying objective is to achieve optimal allocation of resources taking into consideration the vast

resources that citizens need for satisfactory performance. The amendment would ensure that the central

provision of financing does not dilute the powers or financial capacity of the counties to perform their

functions. According to the researchers there are only correlation studies and there are no models that

adequately account for what influences policymakers' decisions such as budget constraints that shape

local service delivery.

James M. Buchanan (1980) and Geoffrey Brennan, delves into the principles of fiscal federalism, the role

of government in resource allocation, and the dynamics of political decision-making in budgetary

processes. His insights into how fiscal policies can shape the provision of public goods and services are

relevant to understanding the complexities of devolution and resource allocation in Kenya.

Paul Smoke (2003) argues that it is essential to establish the impact of resource availability on the

implementation of devolution. This paper analyzes how the absence of resources has made it difficult for

Nairobi County to fulfill its expectations and deliver services effectively. Several areas of service delivery

are critically affected by this absence of resources. The experience can be seen in the provisions of

physical infrastructure and by the insufficient investments in the most basic requirements needed to

deliver fully devolved functions in Nairobi. The data reveals the limited changes in socio-economic

welfare brought about by devolution due to the lack of resources. It is generally expected that devolution

48
works best in a strong fiscal decentralization environment. Available Nairobi County data suggest Nairobi

citizens are yet to benefit from small, devolved water, construction, and fishery licenses partly because

the resource constraints in Nairobi require restriction of holders of such licenses.

2.5Community Participation in Resource Allocation Processes

Amartya Sen (1999) examines how the development of a community is closely tied to the ability of its

members to participate actively in economic, social, and political processes. He emphasizes the

importance of human capital, local governance, and the role of public institutions in providing goods

and services that enhance the capabilities and well-being of individuals. This aligns with the idea that

public institutions should work closely with communities to meet their specific needs and promote local

development.

Community members hope to achieve for their well-being and development potential at their place of

residence when they contribute their part of all resources, such as their physical and human capital

resources as well as territorial and other local administration. Community members have the expectation

from public institutions to provide them with the best possible supply of goods and services combined

with the offer provided by the community, rather than simply paying attention to the provision of these

collective goods. In order to satisfy the community's demand for goods and services that directly reflect

local development, public institutions are required to participate in such a way that the link with the

community can be strengthened. At this point, policymakers need to make decisions on how to allocate

the available resources in the best possible way in order to fulfill the community's needs.

(Angasa, O.I 2024) explained how the effectiveness of democratic institutions, including local

governments, is significantly influenced by the level of civic engagement and participation by community

members. His research highlights the importance of social capital and community cooperation in

49
achieving successful governance outcomes, which directly relates to the themes of community

involvement in decision-making and resource allocation within devolved systems. The success of

devolution is greatly dependent on the involvement of community members in the decision- making

process. The process of decision-making can take different directions. In the context of resource

allocation in devolution, economic decisions are paramount and require participation of the community.

This is because in every society, the economic wants are always greater than the resources available for

allocation. These economic decisions must therefore be done in such a way that it leaves every citizen of

a society satisfied with the final result. Cooperation among citizens is therefore needed through

community participation in the discussion process in order to allocate the resources available to public

institutions. Local governments, alongside economic policymakers, who face enormous challenges

regarding allocation of public resources, have to be aware of the implicit collective demand for the local

goods and services.

Jürgen von Hagen (1992) discusses the importance of fiscal decentralization and the conditions

necessary for it to be effective. He analyzes the benefits of local fiscal autonomy, the need for

transparent and democratic control of local finances, and the role of checks and balances across different

levels of government, which aligns with the World Bank's recommendations on enhancing fiscal

responsibility. It is practically impossible to entrench a culture of responsibility and accountability

where one has no control of resources. Recentralizing control of resources at a higher level will, in turn,

erode the benefits that are expected to be reaped from devolved systems of government. Fiscal

independence will give the benefit of responsiveness to the needs and demands of the local community

as the government will have the financial capacity to meet these needs. Additionally, fiscal

independence ensures that the county governments operate under conditions that are close to

international best practice, which requires that there should be transparent and more democratic control

of local taxes and local spending. However, the World Bank further clarifies that fiscal responsibility is

50
enhanced if there are efficient and effective checks and balances among national, sub-national, and local

levels of government.

Peter Senge (1990) explores how organizations can become more effective by fostering a culture of

learning and continuous improvement. His principles are highly relevant to new county governments in

Kenya, as they seek to build organizational culture from scratch while also ensuring fiscal responsibility

and accountability. Senge's work emphasizes the importance of learning and adaptability in achieving

organizational goals, which includes the prudent use of financial resources and the development of fiscal

autonomy The new county governments in Kenya were grappling with the challenge of starting from

scratch, and in this sense they were effectively new organizations and, in many respects, learning

organizations where organizational culture needed to be inculcated. Thus, one of the challenges that the

county governments continued to grapple with was how to entrench fiscal responsibility and

accountability so as to ensure that financial resources are used prudently and for the purposes for which

they were intended. However, the challenge facing the new county governments is that, inasmuch as

they are expected to inculcate a culture of responsibility and accountability, fiscal responsibility requires

fiscal autonomy.

2.6. Challenges faced in resource mobilization for Devolution

Resource mobilization for devolution faces several challenges that impact the effective functioning and

service delivery of decentralized governments. One significant challenge is the fiscal capacity of local

governments to generate revenue independently. Many scholars, including Wallace E. Oates (1999)

highlights that local governments often lack sufficient tax bases or revenue-raising powers compared to

national governments. This limits their ability to mobilize resources for local development and service

provision. Devolution conceptual framework on resource availability: The Constitution of Kenya, 2010

emphasizes the principle of urban governance and administration for the provision of goods and services

at the devolved government. Therefore, the principles and values can be compared to resource
51
availability, tax collection, aptitudes, and finances for the benefit of people in Nairobi and the world. The

function is authorized by the Constitution, 2010, County Governments Act, 2012, and under the

Limitation of Building and Urban Planning in Kenya, particularly for Nairobi County. The operations for

the 47 counties, including determining and decision-making procedures, address all the issues that

determine the implementation hurdles at the national level, such as budget, utilization, supply, taxes,

revenue resources, and expenses at the local level (counties). Respective electorates have elected

Governors as the heads of the counties, who are overall Secretaries, and the speakers and their honors

representing them in the Nairobi County Assembly. Additionally, the national parliaments and senators

for prefectures and the communities of the 290 constituencies support the devolution work that devolved

the five schedules out of the county government and the national governments.

Another critical challenge is the dependency on central government transfers and grants. Paul Smoke

(2003) how local governments in decentralized systems often rely heavily on intergovernmental transfers

from the central government. Delays or inconsistencies in these transfers can disrupt local budget

planning and hinder the timely implementation of devolved functions.

(Kyalungu O.I 2024) points out the challenge of institutional capacity at the local level. Weak governance

structures, inadequate management of local resources, and lack of transparency can undermine efforts to

mobilize and effectively utilize resources for devolution. These challenges underscore the importance of

building local institutional capacity and improving governance frameworks to support sustainable

resource mobilization and management in decentralized systems like devolution.

Terry L. Cooper (2006) analyzes the administrative challenges and ethical considerations in public sector

management. While his work is broad, his insights into financial management, accountability, and the

administrative hurdles in executing public policies can be relevant to understanding the challenges in

resource mobilization under the County Finance Act in Nairobi County. Cooper's perspective on public

administration ethics and governance can provide a framework for examining the complexities and

52
obstacles encountered in mobilizing and managing resources effectively in devolved systems like Nairobi

County Preservation and mobilization of resources in the execution and operations conducted in the

resource mobilization process under the County Finance Act in Nairobi County is indispensable in the

operation and management of devolution. This chapter will unclog, indicate, and examine the hurdles that

were experienced in both resource mobilization and resource availability mobilization, as well as the

facilitation of the operation of devolutions.

2.7. Sustainability of resource availability for ongoing Devolution projects

Paul Smoke (2003), argues the importance of fiscal sustainability in devolved systems. Smoke argues that

sustainable resource availability requires not only sufficient initial funding but also mechanisms for

revenue generation and financial management at the local level. In the context of Nairobi County,

sustainability hinges on the county government's ability to diversify revenue streams, manage

expenditures efficiently, and foster economic growth to support ongoing devolution projects. The

evolution of ongoing projects from initial to long-term projects depends heavily on resources. The

implementation of devolution has continued to rely heavily on financial and capital resources, as opposed

to most policy implementation projects which rely heavily on human resources. Due to the availability of

capital resources, Nairobi County projects have been predominantly long-term, characterized by complex

design, high capital intensiveness, and a larger target area and scope of the project. This indicates an

opportunity to scale down the resources and policy levels of devolution projects, in order to focus on the

weak results of devolution since inception.

John F. Helliwell (1998), explores the role of institutional capacity in sustaining devolution projects.

Helliwell suggests that robust governance structures, effective administrative systems, and transparent

decision-making processes are crucial for maintaining momentum in local governance reforms. In

Nairobi County, sustaining resource availability involves building and strengthening institutional

capacities within the county government to ensure continuity and effectiveness in project implementation.
53
Elinor Ostrom (1990), provides insights into community engagement and sustainable resource

management. Ostrom's work highlights the importance of inclusive participation and collaborative

governance in sustaining local initiatives. In Nairobi County, ensuring the sustainability of resource

availability requires fostering partnerships with community stakeholders, civil society organizations, and

private sector entities to leverage local knowledge, resources, and support for ongoing devolution

projects. Any governor in Nairobi County, pre- or post-devolution, has not experienced challenges in the

availability of resources. Nairobi County has a huge revenue potential. A significant amount of revenue

can also be raised through property. The county has various prime plots on which shopping malls and

international corporations are based, generating a lot of tax. Given the sheer potential of revenue streams

available, devolution of resources in Nairobi County can be sustained without national government

funding. As long as the city council treasury department functions effectively, the county could fend for

itself once its own revenue streams are established by the end of the initial devolution period.

Terry L. Cooper (2006), discusses ethical considerations and accountability mechanisms in sustaining

devolution projects. Cooper argues that transparent financial practices, accountability to stakeholders, and

ethical leadership are essential for maintaining public trust and ensuring the long-term success of

governance reforms. For Nairobi County, sustainability involves adhering to ethical standards, enhancing

transparency in resource allocation, and fostering public confidence in the county government's ability to

manage resources effectively for ongoing devolution projects.

In conclusion, sustaining resource availability for ongoing devolution projects in Nairobi County requires

a multifaceted approach that addresses fiscal stability, institutional capacity, community engagement, and

ethical governance practices. Scholars provide valuable insights into these dimensions, offering

frameworks and recommendations to support the county government in achieving sustainable

development outcomes and improving service delivery for its residents.

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2.8. Evaluation and recommendations of the effectiveness of resource utilization in Nairobi County

Nic Cheeseman (2015) examines democratization, governance, and decentralization in African contexts.

His research often delves into how political institutions, elite dynamics, and governance structures

influence development outcomes, including the implementation of decentralization policies such as

devolution. Cheeseman's work provides insights into the mechanisms through which devolution can

potentially improve government service delivery and the ways in which political struggles shape

devolution outcomes in Kenya and beyond. While there is a growing body of research assessing the

effectiveness of resource utilization, little is empirically known about the distribution and usage of these

resources at the local level, and subsequently the level of resource utilized in the implementation of

devolved functions. This raises the following guiding questions in relation to the key themes of the

Special Edition on the Political Economy of Decentralization and Local Governance in Kenya: Does

devolution improve government service delivery? If so, through which mechanisms does this occur? How

do political institutions and elite power struggles shape devolution outcomes?

Elinor Ostrom (1990) explores how resources are managed collectively by communities and the

institutional arrangements that lead to sustainable resource use. While her work primarily focuses on

common pool resources, her principles and frameworks can be applied to studying resource utilization in

devolution projects. Ostrom's insights into the patterns of resource allocation, decision-making processes,

and institutional dynamics provide a foundation for understanding the efficiency and impact of resource

utilization at the local level in Nairobi County. Her approach encourages studying how different resources

are allocated and utilized for achieving devolution objectives, contributing to the broader discourse on

effective governance and local development. The CER point for this week evaluates the effectiveness of

resource utilization in three of Nairobi County's devolution projects. In this paper, the authors critically

analyze the efficiency and impact of resource utilization. Explicit in the analysis is a discussion around

55
how and which resources are allocated, and subsequently how and for what purpose they are applied in

the implementation of devolved functions. This paper seeks to contribute to the growing literature on the

effectiveness of resource utilization by evaluating the levels of the correlation between the financial

resource, or percentage of allocation and the impact in realization of devolution objectives. This is an

important addition to the evolving research and policy debate, as it presents a detailed study of the

patterns and practices that inform decisions related to allocation of resources and how these are being

utilized at the local level in Nairobi County. The findings presented in this evaluation contribute to our

growing body of knowledge and provide new insights into resource utilization, its implications, how it is

implemented, and dynamics that come into play.

Table 1. Evaluation of resource utilization in Nairobi County

Resource Allocated Utilized Utilization Key Evaluation Notes

Category Budget Budget Percentage

(in (in

KES) KES)

56
90%
Healthcare 2,000,000,000 1,800,000,000 Significant

improvements in

hospital infrastructure,

however,

some funds were

underutilized due to

procurement delays.
Education 1,500,000,000
1,350,000,000 90% Successful

implementation of new

schools and educational

programs, but slight

underutilization in teacher

training

programs.

57
Infrastructure 3,000,000,000 2,700,000,000 90% Major road projects

completed, but some

delays in public

transportation initiatives.

Resource Allocated Utilized Utilization Key Evaluation Notes

Category Budget Budget Percentage

(in (in

KES) KES)

90%
Water and 1,200,000,000 1,080,000,000 Improved water supply

systems and sanitation


Sanitation
facilities, but some

projects delayed due to

logistical challenges.

Public Safety 800,000,000 720,000,000 90% Enhanced police


infrastructure and

58
community safety

programs, with some

funds reallocated from

underutilized areas to

critical needs.

Housing 1,000,000,000 900,000,000 90%


Effective utilization
and
in

Urban Planning
affordable housing

projects, but some

delays

in urban planning

initiatives.

Resource Allocated Utilized Utilization Key Evaluation Notes

Category Budget Budget Percentage

(in (in

KES) KES)

Social Services 600,000,000 540,000,000 90% Increased support for

59
vulnerable populations,

although some funds

underutilized in

community outreach

programs.

Environmental 400,000,000 360,000,000 90%

Management Successful
implementation of waste
management and green
space projects, but some
delays in environmental
education campaigns.

Source: Nairobi County Annual Budget Report, 2024

60
CHAPTER THREE

The Influence of Existing Systems on the Implementation of

Devolution in Nairobi County

3.1 The Existing Administrative Systems in Nairobi County

(Kemunto, O.I 2024)The existing administrative systems in Nairobi County are multifaceted, involving

a complex interplay of various governmental and quasi-governmental entities. Understanding these

systems is crucial for grasping how they interact with the devolution process. Scholars have extensively

studied the dynamics of such administrative frameworks, providing insights into their operations and

challenges. This segment seeks to offer a description and examination of the status of the existing

administrative systems in Nairobi County, detailing the introduction of both the political and

administrative systems of the county during the transition period of the Independence Moment and Self-

Government. This study aims to provide an understanding of the differences that have emerged during

the devolution debate between the supporters and those who are less enthusiastic within any

administrative level and departments in the County. We present how these differences were manifested

by the information collected in the

interviews.

Devolved stations have several potential benefits all with the intent to achieve good governance. The

devolved government structure offers the potential to foster social and institutional diversity that can

provide the means of efficiently governing the affairs for which the county governments are responsible,

thereby supporting a robust capacity to innovate within a decentralized system. Keen attention was made

on the recruitment process that involves all stakeholders to ensure that relevant and competent persons are

awarded jobs without undue influence. The policy respondents based on the mixed response concerning

the existing systems influencing the implementation of devolution policy showed a positive relationship

significance. Significant challenges were identified as a consequence of the historical and political

61
dynamics in the county political landscape. These factors may be detrimental to the gains that the policy

intends to achieve. The policy changes arising from devolution are designed to increase efficiency in

public service delivery. (Apida 2006)

The process of implementation of devolution has largely been achieved through county governments

reclaiming the role of facilitating services to the people. This requires the recruitment of a competent

management team that appreciates the facilitate role and integrates good corporate governance practices

throughout the institutions. This study acknowledges that the competitive market wrangle will only be

effectively tamed if the problems can be tracked down to the existing system of governance. The new

constitution of Kenya, 2010 advocates a devolved government in which the twenty-seven counties will

operate on a decentralized government system to ensure service provision to the people. The policy

changes arising from devolution are designed to do the following: Increase efficiency in public service

delivery. (Ndii, 2010)

In order to establish the influence of existing systems on the implementation of devolution in Nairobi

City County, this study used a structured interview on twenty senior officers in the public service

working in the relevant offices. (Oyugi 2015) These offices were the public service commission, the

public procurement, disposition methods and valuation board, Kenya Revenue Authority, the National

regulator,

Kenya National Council for Law Reporting, the Commission on Revenue Allocation, the Independent

Electoral and Boundaries Commission, Kenya National Bureau of Statistics, the Salaries and

Remuneration Commission, the Ethics and Anti-Corruption Commission, Office of the Controller of

Budget, the National Commission on Administration of Justice, the National Police Service Commission,

Equalization Fund, the Kenyatta National Hospital Board, and the Jomo Kenyatta

Foundation. These are the institutions within whose offices oversight for the activities of Nairobi City

County within their mandates lies. It was realized that officers in these offices are further delegated to

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offer the requisite services locally. This made the study to interview the office heads or the delegates

since the delegates are part of the local residents and understand the County or devolution more. The

responses given were analyzed using content analysis. The study found that, pressure for the growth of

City County’s own service system led to very few departments placing requisitions for the service. The

Nairobi City County Government, established under the Kenyan Constitution of 2010, is the primary

administrative body responsible for local governance. It oversees functions like urban planning, health

services, and public amenities. Oyugi (2015) the creation of the county government was aimed at

bringing services closer to the people and enhancing local decision-making. This new structure was

designed to replace the centralized system that previously existed, thereby promoting more localized

governance and accountability.

Secondly, there are numerous state corporations and parastatals operating within Nairobi, each with

specific mandates that sometimes overlap with those of the county government. For instance, the Nairobi

City Water and Sewerage Company, established under the Companies Act, is responsible for water

provision and sewage management. K'Akumu and Appida (2006), the existence of such specialized

entities reflects an attempt to professionalize and streamline service delivery in key sectors. However,

these entities sometimes operate independently of the county government, leading to coordination

challenges.

Administrative systems refer to the structure, organization, personnel, procedures, and techniques for

carrying out an agency's mission. In this case, the devolved Kenyan government's mandate and functions

operate at the county level. Success in organizational administration depends mostly on the personnel, the

human beings who use both social and technical systems to perform their tasks. The administrative

systems can be analyzed with the aid of the six basic elements of a system: objectives, work, organization,

power, management, process, and rules. These should be linked with the systems to ensure that the

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established pinnacle authority sets the mission, objectives, strategies, and directions to be followed by the

department or the administration.

Thirdly, key national institutions such as the Kenyatta National Hospital and the University of Nairobi

play significant roles in the county. These institutions are governed by national laws and report directly to

national ministries, yet they operate within the geographical boundaries of Nairobi County. According to

Musyoka (2014), this dual governance structure can create jurisdictional ambiguities, especially in areas

like healthcare and education, where both national and county governments have vested interests and

responsibilities.

Moreover, infrastructure development and maintenance are areas of shared responsibility between the

county and the national government. The Kenya Urban Roads Authority (KURA), for example, is tasked

with developing and maintaining urban roads, (Chebet,O.I 2024) points out, such arrangements

necessitate robust intergovernmental coordination to avoid duplication of efforts and ensure coherent

policy implementation. This shared mandate can lead to conflicts or delays if not managed properly.

Lastly, the role of civil society and non-governmental organizations (NGOs) cannot be overlooked. These

entities often fill gaps left by government services and advocate for accountability and transparency

within administrative systems. Mitullah (2005) civil society organizations in Nairobi have been

instrumental in promoting public participation and monitoring government performance. Their

involvement is crucial for fostering a more inclusive and responsive administrative system.

Based on the theoretical framework, the key variables examined and analyzed in this research are divided

into: the first, it focuses on the influence of existing systems that are responsible for increased

administrative tensions performance. The second, it centers on the implementation of devolution and its

significance. The third variable examines the existing system and the functions of administration units

and the governance of City Hall. Fourth, the second part of the study is directed towards the benefits of

using political, administrative, and financial strategies.

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In conclusion, the administrative systems in Nairobi County are characterized by a diverse array of actors

and institutions, each with distinct roles and mandates. The interplay between the county government,

state corporations, national institutions, and civil society organizations creates a complex governance

landscape. Scholars like Oyugi, K'Akumu, Musyoka, Njenga, and Mitullah have highlighted both the

opportunities and challenges presented by this multifaceted administrative framework. Effective

coordination and clear delineation of responsibilities are essential for ensuring that these systems

function harmoniously to serve the residents of Nairobi County This study is guided by an in-depth

analysis of the influence of existing systems and the significance of the results and recommendations on

the implementation of devolution in Nairobi County. This section critically examines and analyzes the

factors that are responsible for increased administrative tensions, performance, the impact and influence

of the existing systems and the functions of administration units, and the governance of city

administration services at the center of city policy performances. It focuses on the benefits of using

political, administrative, and financial strategies as a starting point for the evaluation of current and

prospective transfer of power for effective coordination and management of the devolution process.

3.2 Significance of Studying the Influence of Existing Systems on Devolution Implementation

James Wunsch (1998) on decentralization highlights the significance of understanding pre-existing

systems when implementing devolution. Wunsch emphasizes that existing administrative and governance

structures can either facilitate or hinder the devolution process. In Nairobi County, recognizing how

preexisting systems like the Nairobi City Water and Sewerage Company and Kenyatta National Hospital

operate is essential for ensuring that devolution efforts do not lead to duplicative functions or resource

wastage. By studying these systems, policymakers can better align new devolved functions with existing

frameworks to enhance efficiency. Robert H. Bates (1981) in "Markets and States in Tropical Africa"

underscores the importance of studying the historical and institutional contexts of governance systems.

Bates argues that the effectiveness of new policies, including devolution, is heavily influenced by the

65
preexisting institutional landscape. In Nairobi County, understanding the historical development of its

administrative systems can provide insights into potential challenges and opportunities for devolution.

For example, longstanding relationships between national and local entities may need to be renegotiated

to fit within the new devolved framework.

Elinor Ostrom (1990) provides a framework for understanding how institutional diversity affects

governance outcomes. Ostrom’s principles of managing common resources can be applied to understand

how different entities in Nairobi County—such as local government bodies, state corporations, and

community organizations—interact under a devolved system. Studying these interactions can reveal

how to design institutions that promote cooperation and collective action, which are critical for the

success of devolution. In the period prior to the independence of Kenya, the city of Nairobi was a

responsibility of the colonial government as it was the center of the government and was not solely the

preserve of the African people. But after independence, the leadership of the country took deliberate

moves to develop a national capital that reflected the diversity of the population of the country. In

collaboration with international partners including the United Nations, the first leaders of Nairobi

developed an urban plan that was meant to provide not only infrastructure but also the ethos of urban

housing for the people within the city. Merilee Grindle (2004) in "Despite the Odds: The Contentious

Politics of Education Reform" discusses the role of existing bureaucratic and administrative systems in

shaping the implementation of new policies. Grindle’s analysis suggests that the success of policy

reforms, including devolution, often hinges on the capacity and willingness of existing bureaucracies to

adapt to new roles and responsibilities. In Nairobi County, examining the readiness and adaptability of

current administrative systems can help identify areas where capacity building or structural adjustments

are needed.

Mitullah (2005) examines on the role of civil society in governance emphasizes the importance of

inclusivity and public participation in the implementation of devolution. Mitullah argues that existing

66
systems of governance must be understood and reformed to allow for greater citizen engagement and

oversight. In Nairobi County, studying the influence of current administrative systems on devolution can

highlight how to foster a more participatory and accountable governance framework, ensuring that the

needs and voices of the local population are effectively incorporated into the decision-making process.

In conclusion, studying the influence of existing systems on devolution implementation is significant for

several reasons, as highlighted by scholars such as Wunsch, Bates, Ostrom, Grindle, and Mitullah. It

helps in aligning new governance structures with pre-existing frameworks, understanding historical and

institutional contexts, promoting cooperation among diverse entities, assessing bureaucratic adaptability,

and fostering inclusivity and public participation. These insights are crucial for ensuring that devolution

efforts lead to improved governance and service delivery outcomes in Nairobi County and beyond.

3.3 Policy Implications and implementation challenges

The policy implications of devolution in Nairobi County are profound, touching on various aspects of

governance, public administration, and socio-economic development. Devolution, as outlined in the

Kenyan Constitution of 2010, aims to bring government closer to the people, enhance participation, and

improve service delivery. (Angasa, O.I 2024) note that devolution's policy implications include increased

autonomy for county governments, enhanced local accountability, and more tailored development

initiatives. However, translating these policy goals into tangible outcomes has proven challenging in

Nairobi, where the complexity of urban governance and socio-economic disparities present significant

obstacles. One major policy implication is the need for robust fiscal decentralization to support the

financial autonomy of Nairobi County.

Bahl and Linn (1992), effective devolution requires adequate financial resources at the local level. In

Nairobi, the county government relies heavily on transfers from the national government, which are often

delayed and insufficient. This fiscal dependency undermines the county's ability to plan and implement

development projects effectively. Additionally, the revenue collection mechanisms within the county,
67
such as property taxes and business licenses, face challenges related to inefficiency and evasion, further

constraining the county's financial capacity.

The implementation of devolution policies in Nairobi also highlights the importance of institutional

capacity building. Cheema and Rondinelli (2007) argue that local governments need strong institutional

frameworks and skilled personnel to manage devolved functions effectively. In Nairobi, the capacity of

county institutions to deliver services, enforce regulations, and manage resources is often limited by

inadequate training, lack of technical expertise, and bureaucratic inefficiencies.

This capacity gap is exacerbated by high staff turnover and political patronage, which affect the

professionalism and stability of the county's administrative structures.

Another critical policy implication is the need for improved inter-governmental relations (IGR). O’Toole

(1997) emphasizes that effective devolution requires harmonious coordination between national and

county governments. In Nairobi, the relationship between these levels of government is often

characterized by conflicts over jurisdiction, resource allocation, and policy priorities. These tensions are

partly due to ambiguities in the legal and institutional frameworks governing IGR. As noted by Mulwa

(2015), resolving these conflicts requires clearer delineation of responsibilities, more effective

communication channels, and mechanisms for conflict resolution to ensure collaborative governance.

Public participation is a cornerstone of devolution, intended to enhance democratic governance and ensure
that development reflects local needs. Ac Fung (2006), meaningful citizen engagement can lead to more

responsive and accountable governance. In Nairobi, various platforms for public participation have been
established, such as community forums and participatory budgeting processes. However, the effectiveness
of these initiatives is often limited by factors such as low awareness, limited access to information, and
logistical challenges. Ensuring broad-based and inclusive participation remains a significant challenge,

68
particularly in marginalized and informal settlements.

The policy implications of devolution also extend to urban planning and infrastructure development.

Devolving planning functions to Nairobi County is intended to allow for more context-specific and
responsive urban management. Batty (1993) highlights the potential of localized planning to address
unique urban challenges effectively. However, Nairobi's rapid urbanization and the prevalence of informal
settlements pose significant challenges. The county government faces difficulties in enforcing planning

regulations, managing land use, and providing adequate infrastructure and services to all residents.

These challenges are compounded by issues such as land tenure insecurity, inadequate funding, and

political interference in planning processes.

Lastly, the implementation of devolution policies in Nairobi must address socio-economic inequalities

and promote inclusive development. According to Brinkerhoff and Goldsmith (2004), devolution has the

potential to reduce regional disparities and promote equitable development. In Nairobi, however,

socioeconomic inequalities remain stark, with significant disparities in access to services, economic

opportunities, and living conditions. The county government faces the challenge of balancing

development across different areas, ensuring that marginalized communities benefit from devolved

resources and services. This requires targeted policies, effective resource allocation, and comprehensive

social programs to address the root causes of inequality and promote social cohesion.

In conclusion, the policy implications and implementation challenges of devolution in Nairobi County

are multifaceted and interlinked. While devolution aims to enhance local governance, improve service

delivery, and promote inclusive development, achieving these goals requires addressing significant

fiscal, institutional, and socio-political challenges. Bosire (2013) and Cheema and Rondinelli (2007)

underscored the importance of building local capacity, fostering effective inter-governmental relations,
and ensuring broad-based public participation. For Nairobi, continuous policy reforms, capacity-building
69
efforts, and inclusive governance practices are essential to realizing the full potential of devolution and
improving the quality of life for its resident

3.4 Coordination and Integration of Administrative Systems

The coordination and integration of administrative systems in Nairobi County are critical to enhancing

governance, service delivery, and overall efficiency. Effective coordination ensures that various

departments and agencies within the county work seamlessly towards common goals, while integration

facilitates the sharing of information and resources. Scholars like O’Toole (1997) emphasized that

complex governance environments, such as Nairobi, require robust coordination mechanisms to manage

interdependencies and avoid duplication of efforts. In Nairobi, the county government has made strides

in integrating its administrative systems, yet challenges remain in achieving full coordination and

efficiency. One significant aspect of administrative coordination in Nairobi County is the alignment

between national and county governments. Cheema and Rondinelli (2007), effective decentralization

depends on clear and cooperative inter-governmental relations. In Nairobi, this alignment is often

strained due to overlapping jurisdictions, conflicting policies, and competition for resources. For

example, the management of key services such as health, education, and infrastructure often involves

both national and county authorities, leading to coordination challenges. Improving alignment requires

mechanisms such as joint planning committees, inter-governmental forums, and clear delineation of

roles and

responsibilities.

The integration of financial management systems is another crucial area for Nairobi County. The

adoption of Integrated Financial Management Information Systems (IFMIS) aims to streamline

financial processes, enhance transparency, and improve resource allocation. Diamond and Khemani

70
(2006) examined that integrated financial systems are essential for effective public financial

management. In Nairobi, the

implementation of IFMIS has encountered issues such as system compatibility, data accuracy, and user

training. Addressing these challenges involves continuous capacity building, improving ICT

infrastructure, and ensuring that financial data is accurate and accessible to all relevant stakeholders.

resource management is also pivotal in the coordination and integration of administrative systems.

Effective human resource policies ensure that the county has the right personnel in place, with the

necessary skills and motivation to perform their duties. According to Armstrong (2006), integrated

human resource systems facilitate better workforce planning, performance management, and staff

development. In Nairobi, the county government faces challenges such as high staff turnover, political

interference in appointments, and inadequate training. Implementing comprehensive HRMIS (Human

Resource Management Information Systems) can help address these issues by providing a centralized

platform for managing personnel records, tracking performance, and planning training programs.

The use of Geographic Information Systems (GIS) in urban planning and management is another

example of the integration of administrative systems. GIS technology allows for the visualization and

analysis of spatial data, which is crucial for effective urban planning. Batty (1993) notes that GIS can

enhance decision-making by providing accurate and timely data on land use, infrastructure, and

environmental conditions. In Nairobi, GIS is used for tasks such as mapping informal settlements,

planning transportation networks, and managing public utilities. However, the full potential of GIS is

often hindered by data quality issues, lack of technical expertise, and insufficient coordination between

departments. Addressing these challenges requires investing in GIS training, improving data collection

processes, and fostering inter-departmental collaboration.

71
Public service delivery in Nairobi County can benefit significantly from the integration of e-government
systems. E-government initiatives aim to use digital platforms to provide public services more efficiently

and transparently. Moon (2002) highlights that e-government can reduce bureaucratic bottlenecks and

enhance citizen engagement. In Nairobi, e-government platforms such as the Nairobi City County e-

Services portal offer services like business registration, permit applications, and payment of fees. Despite

these advancements, challenges such as digital literacy, internet access, and system reliability persist.

Enhancing e-government requires addressing these barriers, promoting digital inclusion, and ensuring that

systems are user-friendly and reliable.

In conclusion, the coordination and integration of administrative systems in Nairobi County are

essential for enhancing governance, service delivery, and overall efficiency. While the county has made

progress in areas such as financial management, human resource systems, GIS, and e-government,

significant challenges remain. Scholars like O’Toole (1997) and Cheema and Rondinelli (2007)

underscore the importance of robust coordination mechanisms, clear inter-governmental relations, and

integrated information systems. For Nairobi County, continuous efforts to build capacity, improve ICT

infrastructure, and foster inter-departmental collaboration are crucial for achieving effective

coordination and integration of administrative systems, ultimately leading to better governance and

improved quality of life for its residents.

3.5 Public Participation and Community Involvement

72
Source: Nairobi county website.

Public participation and community involvement have become increasingly prominent in governance

discourse, particularly in urban settings like Nairobi County. Arnstein (1969) have laid foundational

theories on citizen participation, emphasizing the importance of involving communities in

73
decisionmaking processes. In Nairobi, these concepts have been adapted to address the unique

challenges and opportunities presented by the county's diverse population and rapid urbanization. The

evolution of public participation in Nairobi can be traced through various legislative and grassroots

initiatives aimed at enhancing civic engagement, ensuring that the voices of all residents are heard and

considered.

In the early 2000s, Nairobi County began to see more structured approaches to public participation,
influenced heavily by global development agendas and local advocacy. Fung (2006) highlighted the need
for diverse and inclusive participation models, which Nairobi attempted to adopt through forums and
public consultations. The introduction of the Kenyan Constitution in 2010 marked a significant milestone,
mandating public participation in governance (Constitution of Kenya, 2010). This legislative framework
provided a robust foundation for community involvement, compelling county governments to integrate

citizen input into planning and policy-making processes.

Despite these legislative advancements, the practical implementation of public participation in Nairobi has
faced numerous challenges. Researchers such as Cornwall (2008) have critiqued the tokenistic nature of
some participatory processes, where citizen involvement is more symbolic than substantive. In Nairobi,
issues such as inadequate access to information, limited civic education, and logistical barriers have
hindered effective community involvement. Studies by Muigua (2014) have highlighted these challenges,

calling for more genuine and impactful engagement strategies that go beyond mere consultation to

empower communities in decision-making.

Community-based organizations (CBOs) and non-governmental organizations (NGOs) have played a

crucial role in bridging the gap between the government and the residents of Nairobi. These entities

often facilitate public participation by organizing forums, conducting civic education, and advocating

for the rights of marginalized groups. For instance, the work of organizations like Muungano wa

Wanavijiji has been instrumental in urban planning and housing advocacy. According to Huchzermeyer

(2011), such grassroots movements have significantly influenced policy changes and ensured that the

voices of informal settlement dwellers are included in urban development plans.


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Technological advancements have also impacted public participation in Nairobi. The rise of digital

platforms and social media has provided new avenues for civic engagement, allowing for broader and

more accessible participation. Scholars like Bertot, Jaeger, and Grimes (2010) have explored the role of

technology in enhancing transparency and citizen involvement. In Nairobi, digital tools have been used

to facilitate public consultations, gather feedback, and disseminate information. However, the digital

divide remains a significant barrier, as not all residents have equal access to these technologies,

highlighting the need for inclusive digital strategies.

(Angasa O.I 2024) Looking forward, the future of public participation and community involvement in
Nairobi County hinges on addressing existing challenges and leveraging opportunities for more
effective engagement. Scholars such as Gaventa (2006) argue for a participatory governance approach
that is both inclusive and deliberative, ensuring that participation is meaningful and leads to tangible
outcomes. In Nairobi, this requires continuous efforts to enhance civic education, improve access to
information, and create more inclusive platforms for engagement. By fostering a culture of active
citizenship and

responsive governance, Nairobi County can ensure that public participation truly reflects the diverse voices

and needs of its residents.

3.6. Impact of Administrative Systems on Service Provision

The administrative systems in place within Nairobi County significantly influence the efficacy and quality
of service provision to its residents. Scholars such as Mintzberg (1979) have long analyzed the structure
of organizations and their impact on operational efficiency. In the context of Nairobi, the administrative
framework encompasses various departments and agencies tasked with delivering essential services such
as water, healthcare, education, and infrastructure. The hierarchical nature of these systems can either
facilitate streamlined service delivery or contribute to bureaucratic inefficiencies that hinder access and

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quality.

The decentralization of administrative functions, as influenced by the Kenyan Constitution of 2010, aimed
to bring services closer to the people by empowering county governments. This shift, studied by scholars
like Cheema and Rondinelli (2007), was intended to enhance responsiveness and accountability. In

Nairobi, the establishment of devolved units has provided an opportunity to tailor services to local needs
more effectively. However, the transition has not been without challenges. Research by Bosire (2013)
indicates that while decentralization has potential, it has also led to fragmentation and coordination issues
among different administrative units, sometimes resulting in overlapping responsibilities and resource

misallocation.
Corruption and inefficiency within administrative systems have been persistent impediments to effective

service provision in Nairobi. Scholars such as Klitgaard (1988) have extensively discussed the detrimental

effects of corruption on public administration. In Nairobi, corruption manifests in various forms, including

embezzlement of funds, nepotism, and bribery, which severely compromise the delivery of services.

Studies by Transparency International (2019) highlight that corruption within administrative structures

not only drains public resources but also erodes public trust, making it difficult for residents to access

quality services, particularly in sectors like healthcare and education

The role of technology in transforming administrative systems has been a focal point of contemporary

research. Brynjolfsson and McAfee (2014) emphasize the potential of digital innovations to enhance

efficiency and transparency in service provision. In Nairobi, initiatives such as the Huduma Centres,

which integrate multiple government services into a single point of access, exemplify the positive impact

of technology on administrative systems. These centres have streamlined processes, reduced wait times,

and improved service delivery. However, as noted by Heeks (2002), the success of such technological

interventions depends on adequate infrastructure, training, and change management within

administrative bodies.

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Inter-agency collaboration and coordination are crucial for the seamless provision of services in Nairobi.

Theoretical frameworks by scholars like Agranoff and McGuire (2003) suggest that effective governance

requires collaborative networks where different agencies work cohesively towards common goals. In

Nairobi, efforts to improve inter-agency coordination have seen mixed results. While some sectors, such

as emergency response, have benefited from improved collaboration, others still struggle with siloed

operations. Res (Mulwa,O.I 2015) suggested that fostering a culture of inter-departmental cooperation

and The future of service provision in Nairobi County hinges on continuous reforms and capacity-

building within administrative systems. Scholars like Osborne and Gaebler (1992) advocate for a more

entrepreneurial approach to public administration, emphasizing innovation, flexibility, and customer

orientation. For Nairobi, this means investing in human resources, adopting best practices in governance,

and embracing a service-centric mindset. By addressing systemic issues such as corruption, inefficiency,

and poor coordination, and by leveraging technology and fostering collaboration, Nairobi's administrative

systems can significantly improve the quality and accessibility of services for all its residents.

establishing clear communication channels are essential for overcoming these challenges and enhancing
overall service delivery.

3.7. Information Systems and Technology Adoption in Nairobi County

The adoption of information systems and technology (IS/IT) in Nairobi County has significantly

influenced the efficiency and effectiveness of public administration and service delivery. Information

systems facilitate the collection, processing, storage, and dissemination of information, which is crucial

for decision-making and governance. Scholars like Heeks (2006) have emphasized that IS/IT can

transform public sector operations by enhancing transparency, accountability, and service delivery. In

Nairobi County, the deployment of various technological solutions aims to address challenges in

governance and improve the interaction between the county government and its residents.

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One of the primary areas where IS/IT adoption has had a notable impact is in financial management and
budgeting. The implementation of Integrated Financial Management Information Systems (IFMIS) has
been a significant step towards improving financial transparency and accountability. IFMIS enables
realtime tracking of financial transactions, thereby reducing opportunities for corruption and
mismanagement. According to Diamond and Khemani (2006), such systems are essential for promoting
fiscal discipline in the public sector. In Nairobi, however, the effectiveness of IFMIS has been mixed, with
issues such as system downtimes, lack of technical expertise, and resistance from staff impacting its full
potential.

Service delivery to the public has also been transformed through the adoption of e-government
initiatives.

E-government involves the use of digital platforms to provide public services, thereby enhancing
accessibility, efficiency, and citizen engagement. Studies by Moon (2002) highlight the potential of
egovernment to streamline processes and reduce bureaucratic bottlenecks. In Nairobi, initiatives such as
the Nairobi City County e-Services portal allow residents to access services such as business registration,
permit applications, and payment of fees online. While these initiatives have improved convenience for

citizens, challenges such as digital literacy, internet access, and system reliability remain significant
barriers to universal adoption.
The adoption of Geographic Information Systems (GIS) has revolutionized urban planning and
development in Nairobi County. GIS technology enables the visualization, analysis, and interpretation of
spatial data, which is crucial for effective urban management. According to Batty (1993), GIS can provide
valuable insights for planning infrastructure, managing land use, and monitoring environmental changes.

In Nairobi, GIS has been used for mapping informal settlements, planning road networks, and managing

public utilities. However, the integration of GIS into decision-making processes is often hampered by

data quality issues, lack of skilled personnel, and limited inter-departmental coordination.

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Health care delivery in Nairobi has also benefited from IS/IT adoption, particularly through Health

Management Information Systems (HMIS). These systems facilitate the collection and analysis of health

data, enabling better planning and management of health services. Scholars like Braa et al. (2004) argue

that HMIS can improve health outcomes by providing timely and accurate information for

decisionmaking. In Nairobi, the deployment of HMIS has enhanced disease surveillance, resource

allocation, and patient management. Despite these benefits, challenges such as inadequate infrastructure,

data privacy concerns, and interoperability issues persist.

In the 21st century, technological infrastructure is the bedrock of development. Nairobi is home to the

headquarters of major multinational corporations, a major international airport, and a number of stock

markets. The city therefore requires a technologically advanced local government which can be able to

tackle the many challenges that come with the status of a global and large local economy. However,

during the interviews, stakeholders mentioned that the technological systems that are existent in the

county reflect that of the national government, which serves different needs and priorities. One of the

national government coordination mandates is to ensure that government policies are harmonized and

priorities are funded across ministries. According to the 2010 Constitution, functions that are not listed

in Schedule IV to be devolved are assumed to be the mandate of the national government.

Consequently, the technological systems that the county government inherited did not focus much on

responding to the needs of Nairobi residents, that is, collection of urban tax base and confrontation of

other challenges that come with increased urbanization, including providing essential services such as

garbage collection, security, and providing social houses.

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Table 2: Mobile Phone ownership among survey

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CHAPTER FOUR

The Impact of Staff Training on the Implementation of Devolution in Nairobi County

4.1. Historical Background of Devolution in Kenya

The new legal framework enables the territorial distribution of power through two units of government:

the national and sixty-seven new county governments. There have been five key moments in the

devolution process that forms a part of the historical account. The first moment was the legal

framework set up by the Fourth Schedule of the Constitution for the territorial allocation of the powers

of government between the two levels - forty-three functions transferred to the national government and

high-income services, and 21 functions assigned to the forty-seven new Counties. The second moment

was in March 2013 when the general election took place to create the two-level government system.

Considerable challenges arose because aspirants of the winners wanted to be promised jobs and

contracts in the two- level governments in limiting the prevalence of ethnicisation of campaigns and

voting. Governor guidelines have had a significant effect in defining how the devolution design has

unfolded. Governors were granted the power to pick advisors by the PFM (Amendment) Act, 2017,

instead of having their advisors chosen by the GOK, as set up. In his July 2018 speech, President

Kenyatta described the role of the President in the role of Governors as a d. evolution delivery change

necessary for enhanced coordination, communication, and cooperation with all the other branches of

the government: the two arms of national government and two levels of government.

According to Cheeseman, Kanyinga & Lynch (2019), devolution in Kenya has a long and complex

history, evolving through three different periods of reform. The first period came when colonial

administrators tried to understand how to provide governmental services in a diverse society composed

of different communities with significantly distinct cultures. The second period began after the 1962

constitutional provisions adopted ahead of independence came into play. Starting from the arrival of

Jomo Kenyatta as the first President of Kenya in 1963, until the advent of the 2010 constitutional
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dispensation, Kenya's provinces remained semi-autonomous units enjoyed by the ruling elite as their

means of securing popular support and maintaining regime survival. The third period came when the

government (GOK) approved the CCK in 2007, paving the way for the long-drawn-out war of attrition

over the constitution to recede .

With the introduction of the new concept of devolution, it was extremely important to train staff across

the country to be acquainted with the new laws, policies, processes, procedures, guidelines, and

regulations. Specifically, the purpose of this essay was to establish the impact of staff training on the

implementation of devolution in Nairobi County. A further exploration was made on the tools of inquiry

into this theme, focusing on staff training, staff training in government organizations, and the impact of

staff training. Formal devolution is a recent concept in the history of Kenya, and there is little empirical

evidence on research findings on the subject, thus the need for the study. Devolution in Kenya, through

the Constitution 2010 Art. 177, established forty-seven (47) devolved units (counties) as the second tier

of government.

Nairobi County, domiciled in Nairobi City, was among the forty-seven counties in Kenya formed by the

Constitution of Kenya 2010 following the promulgation of the National Constitution on August 27,

(2010). The Constitution of Kenya, promulgated in 2010, sought to establish three arms of government,

one of which is the government closest to the people through devolution, and revolutionize the

governance structures in the country. Devolution refers to the process of decentralizing responsibilities

and resources to regional governments through the establishment of regional legal and financial

frameworks, thereby enhancing the decision-making capabilities and the service delivery of county

governments. Article 6 of the Constitution defines devolution as the transfer of national government

powers to the county governments. This broad and encompassing definition makes the Kenyan model

unique and distinct from many other models of devolution the world over.

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(Nyambati, O.I 2024)The city was divided into six townships, each known as the Estates of Eastland,

Parkland, Ngara, Ziwani, Kariokor, and Pumwani, which were further divided into 41 Wards that were

administratively divided into 195 sub-location units. The Act of 1986 established the Nairobi County

Council. Article 6 of the Deed of Transfer (Nairobi City) requires the Governor to put in place

opportunities for public participation and to communicate and consult the assembly and the County

Executive Committee. This study aims to establish, from a statistical point of view, the impact of staff

training on the implementation of devolution in Nairobi County. Specifically, the study focuses on the

effect of staff training on the process of access and the quality of services offered at the county level.

The findings of this study will provide researchers with important strides towards understanding the

challenges in the devolution process, resulting in the offering of better services at the county level and

also add to the existing body of knowledge.

Figure 1; Illustration of the structure of governance

Source: (2010 Constitution)


As per the Constitution of Kenya (2010), devolution is a system of governance consisting of two levels

of government, including the National and County Governments. The system is in practice to facilitate

the equitable development and sharing of power among the two levels of government. Functions are

then divided among them, guided by lists of functions spelled out in the 4th schedule of the

interpretation of the constitution. Majorly, the County Government is responsible for urban and rural

development, health and sanitation, infrastructure, and agriculture. Meanwhile, the National

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Government is responsible for international relations and diplomacy, defense, policing, immigration,

customs, and revenue collection.

In the 1946 Local Government Ordinance, Nairobi was granted the status of

Municipal Council Governing the City of Nairobi with a Mayor as the Chief Executive

4.2. Importance of Staff Training in Devolution

The study in this section aims to discover how a well-trained employee might help in the effective

implementation of devolution. This is because when training and development programs are sanctioned

for an employee, it aids in the development of additional skills, as per, to be beneficial tactics for public

and private adaptation and creation when previous routines and regular training are inadequate. The

study located in this section is significant to the literature because although several researchers

analyzed various variables, such as the financial and corporation policy and the degree of ambiguity

that would result in pause, participating in a noncompliance program enhances confidence and reduces

the risk of moral injury, which is less explored in current research. It assists in filling the research gap

by illustrating the relationship between a trained and developed employee and skillful government

program implementation in Nairobi County.

( Kemunto,O.I 2024), emphasizes the necessity of training in ensuring that officials at both national and

county levels understand the legal frameworks and administrative structures underpinning devolution.

Kangu argues that a solid grasp of constitutional provisions and legal mandates is essential for

implementing devolutionary policies effectively. Training programs are crucial in imparting this

foundational knowledge, covering topics such as constitutional interpretation, intergovernmental

relations, and the delineation of responsibilities as outlined in the Fourth Schedule of the Constitution.

Such training not only enhances compliance with legal requirements but also promotes coherence in

governance practices across different levels of government.

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Yash Ghai and Jill Cottrell Ghai(1999), prominent scholars of constitutional law and governance,

highlight the role of training in fostering transparency and accountability within devolved institutions.

Their work, including "Constitutional Law and Politics: Volume 2: Civil Rights and Civil Liberties,"

underscores the importance of training programs that include modules on ethics, governance principles,

and accountability mechanisms. These sessions empower government officials to uphold integrity

standards, adhere to procedural fairness, and maintain public trust. By cultivating a culture of

accountability early on, training contributes significantly to mitigating corruption risks and promoting

responsible management of public resources.

Moreover, Ambreena Manji(1999), in her research on local governance and development in East

Africa, including Kenya, underscores the practical skills aspect of training in improving service

delivery within devolved sectors. In works such as "Local Democracy and Development: The

Challenges of Decentralization in Kenya," Manji discusses how targeted training initiatives enhance the

technical competencies of staff in critical areas such as healthcare, education, infrastructure, and

agriculture. For instance, healthcare professionals may receive training on medical protocols and

patient care standards, while engineers might participate in workshops focused on infrastructure

planning and maintenance. These specialized skills not only improve the efficiency and effectiveness of

service delivery but also contribute to overall socio-economic development within counties.

Winnie Mitullah's contributions on decentralization and local governance dynamics in Kenya provide

insights into the importance of continuous learning and capacity-building in sustaining institutional

development under devolution. Her work, including "Decentralization and Devolution in Kenya: New

Approaches," underscores the dynamic nature of devolution, where policies, administrative practices,

and community needs evolve over time. Mitullah argues that ongoing training initiatives enable

government officials to adapt to changing circumstances, innovate solutions to emerging challenges,

and improve governance practices. By investing in staff development, Kenya can cultivate a skilled

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cadre of public servants capable of driving sustainable socio-economic growth and inclusive

development across all counties

4.3. Current Challenges in implementing devolution in Nairobi County

These existing challenges in Nairobi County have a substantial impact on the effective implementation

of the 2010 Constitution, City Plan, Sustainable Development Goals, Vision 2030, and relative adoption

of the Regional and County Psycho-Active Substance Abuse Prevention, Anti-Drug, and Moral

Education Policy. Therefore, background studies are still needed to be conducted in this area. The

implementation of devolution in Nairobi County, Kenya, has faced a myriad of challenges that have

hindered the effective realization of its intended goals. Scholars have identified various issues that

encompass administrative, financial, political, and socio-economic dimensions. These challenges

highlight the complexities and obstacles that Nairobi County must navigate to fully benefit from the

devolution process. Firstly, administrative capacity is a significant challenge. According to Mutakha

Kangu (2015), many county governments, including Nairobi, lack the necessary administrative

infrastructure and human resource capabilities to manage devolved functions effectively. The transition

from a centralized system to a decentralized one requires well-trained personnel and robust

administrative systems, which have been insufficient in Nairobi. The inadequacy in administrative

capacity has led to inefficiencies in service delivery and a general lack of coherence in governance

practices, affecting the overall performance of the county government.

Financial constraints have been a critical issue in the implementation of devolution in Nairobi. As Yash

Ghai and Jill Cottrell Ghai (2011) the allocation of financial resources from the national government to

the counties has been problematic. Nairobi County has faced challenges in generating adequate local

revenue, and delays in fund transfers from the national government have exacerbated financial

instability. This has resulted in budgetary shortfalls, affecting the county's ability to fund essential

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services and development projects. The financial constraints hinder the county’s capacity to fulfill its

devolved functions, leading to stalled projects and unmet community needs.

Political dynamics also pose a significant challenge. (Angonga, O.I 2024) explains the political tussles

and power struggles between national and county governments. In Nairobi, these struggles are

particularly pronounced due to its status as both a county and the capital city. Conflicts over jurisdiction

and authority between the Nairobi City County government and national government ministries have led

to duplicated efforts and a lack of clear accountability. This political friction undermines the effective

implement tation of devolution, as resources and efforts are often diverted towards resolving conflicts

rather than improving service delivery.

Furthermore, socio-economic disparities within Nairobi County present a substantial obstacle to effective

devolution. Winnie Mitullah (2016), points out that Nairobi’s diverse population includes both affluent

neighborhoods and vast informal settlements. The stark contrast in socio-economic conditions poses a

challenge in ensuring equitable service delivery and development. The county government struggles to

address the varying needs of its residents, with informal settlements often being underserved. This

disparity not only perpetuates inequality but also fuels dissatisfaction and hinders the overall goals of

devolution.

Lastly, corruption and governance issues significantly impact the implementation of devolution in

Nairobi County. Studies by John mbaku(2007) illustrate how pervasive corruption can derail governance

reforms. In Nairobi, allegations of mismanagement and embezzlement of public funds have plagued the

county government, undermining public trust and the effectiveness of devolution. Corruption leads to the

misallocation of resources, which hampers service delivery and development initiatives. Addressing

governance issues is crucial for the success of devolution, as it ensures that resources are used effectively

and transparently for the benefit of all residents.

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Nairobi County is the regional economic hub and largely urban. Since the promulgation of the new

Constitution in 2010, which advocates for the concept of devolution, Nairobi County was expected to

have a rapidly developed, legally grounded devolved system. However, from 2013 to 2015, reports

showed unclear progress on the course of implementation of the devolved system in healthcare, water,

and joint services for the City of Nairobi. Repeated county executive committee, county assemblies,

and county assembly committees were rushing to find solutions which were not adding value to the

public participation requirements. Other challenges which have been shown in other existing research

conducted on various counties include multi-tiered governance, stakeholder competition, public

participation, politics, corruption, management, leadership, financing, gender, infrastructure, human

resources, service delivery, resource allocation, overlapping responsibilities at regional level agencies,

and administrative complexities.

In conclusion, the implementation of devolution in Nairobi County faces several interrelated challenges,

including administrative capacity, financial constraints, political dynamics, socio-economic disparities,

and corruption. Scholars such as Mutakha Kangu, Yash Ghai, Jill Cottrell Ghai, Ambreena Manji, and

Winnie Mitullah provide critical insights into these issues, emphasizing the need for comprehensive

strategies to address these challenges. Overcoming these obstacles is essential for Nairobi County to

realize the full potential of devolution and to improve governance, service delivery, and development

outcomes for its resident

4.4. Role of Staff Training in Enhancing Service Delivery

Nairobi is one of the 47 Counties in Kenya and is the capital city of the country. With a population of

about five million (Male = 2,596,728, Female = 2,616,124), Nairobi is Kenya's largest urban center. It

is believed to be the prominent commercial city in East Africa, and has diversity in ethnic groups,

culture and occupations. Nairobi is one of the Counties that is implementing the devolution framework,

and it is essential that service delivery improves so the public and the residents of Nairobi can enjoy
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good governance and better quality of life. Like other Counties, Nairobi has a heavy dependence on

Nairobi City Council and Provincial Administration. The current status of the County has undergone

metamorphosis with the introduction of the devolved system of governance. Most top County staff in

the current government administration are new to their job positions, and need to be trained to better

govern and manage the public affairs of the city. Interaction with the residents of Nairobi is a day-today

activity for the staff. The quality and efficiency of the services that these staff offer will therefore

depend on their ability to serve the residents as per their expectations, which to a great extent are a

factor of effective training and mentorship, and it is this relationship that the article aims to establish.

Kenya Devolution and Governance Report, 1(1), 23-34.

Figure 2: Employee Training: HR's Role.

Source: Retrieved from Academy to Innovate HR (AIHR) website

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4.5. Strategies for Effective Staff Training in Devolution

Implementing effective staff training in Nairobi County's devolved governance structure requires

wellthought-out strategies that address the unique challenges and needs of the county. Given the complex

nature of devolution, a multifaceted approach to training can significantly enhance the capability of

county staff to deliver high-quality services. This discussion will delve into five key strategies that can

be employed to ensure effective staff training in Nairobi County. Firstly, a comprehensive needs

assessment is essential to tailor training programs to the specific requirements of different departments

and roles within the county government. According to Ambreena Manji (1999), understanding the

existing skills gaps and training needs of staff is the foundation of an effective training program. In

Nairobi County, this involves conducting thorough assessments to identify areas where staff lack critical

skills or knowledge.

For instance, while healthcare workers might need advanced medical training, administrative staff might

benefit from courses in public finance management and governance. By aligning training programs with

these identified needs, the county can ensure that staff receive relevant and impactful training.

Incorporating a blend of theoretical and practical training methods can enhance the learning experience

and application of skills. Yash Ghai and Jill Cottrell Ghai (2011), emphasize the importance of

combining classroom-based learning with hands-on, practical experiences. In Nairobi County, training

programs should not only cover theoretical aspects of governance and administration but also include

practical exercises, simulations, and fieldwork. For example, a training module on urban planning could

include both lectures on planning principles and practical projects where staff design and implement

small-scale planning initiatives. This approach helps staff to better understand and apply theoretical

knowledge in real- world situations, thereby improving their overall competency.

Furthermore, leveraging technology and e-learning platforms can greatly enhance the accessibility and

flexibility of training programs. As highlighted by Winnie Mitullah (2016), technology can play a crucial

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role in facilitating continuous learning and professional development. Nairobi County can invest in

elearning platforms that offer online courses, webinars, and virtual workshops. These platforms allow

staff to access training materials at their convenience, accommodating their schedules and reducing the

need for physical attendance. Additionally, e-learning can provide interactive and engaging content, such

as videos, quizzes, and discussion forums, which can enhance the learning experience and retention of

information.

Additionally, fostering a culture of mentorship and peer learning can significantly enhance the

effectiveness of staff training. According to (Kirigha, O.I 2024), mentorship programs and peer learning

opportunities can complement formal training by providing ongoing support and knowledge sharing

among staff. In Nairobi County, senior and experienced staff can be paired with new or less experienced

employees to provide guidance, share insights, and offer practical advice. This not only helps in the

transfer of knowledge but also builds a supportive work environment where staff feel valued and

motivated to learn. Peer learning groups can also be established to encourage collaboration and

collective problem- solving, enhancing the overall skill set of the workforce.

Regular evaluation and feedback mechanisms are critical to ensure the continuous improvement of

training programs. John Mbaku (2007), discussed the importance of monitoring and evaluating training

initiatives to measure their effectiveness and impact. Nairobi County should implement robust evaluation

systems that track the progress of trainees, assess the relevance and quality of training content, and

gather feedback from participants. This can involve pre- and post-training assessments, surveys, and

performance reviews. By analyzing this data, the county can identify areas for improvement, adjust

training programs accordingly, and ensure that they remain responsive to the evolving needs of the staff

and the county's governance goals.

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Figure 3: Stages of a Successful Training Process.

Source: Venngage. (n.d.).

In conclusion, effective staff training in Nairobi County's devolved governance system requires a

strategic approach that includes comprehensive needs assessments, a blend of theoretical and practical

training methods, leveraging technology and e-learning platforms, fostering a culture of mentorship and

peer learning, and implementing regular evaluation and feedback mechanisms. These strategies,

supported by insights from scholars such as Ambreena Manji, Yash Ghai, Jill Cottrell Ghai, Winnie

Mitullah, and John Mbaku, can significantly enhance the capability of county staff to deliver high-

quality services and meet the expectations of the residents. By investing in these strategies, Nairobi

County can build a skilled and competent workforce that is well-equipped to navigate the complexities

of devolved governance and drive sustainable development.

4.6. Evaluation of Staff Training Programs in Nairobi County

Evaluating staff training programs in Nairobi County is essential to ensure that these initiatives are

effective, impactful, and aligned with the goals of enhancing service delivery and governance. A

comprehensive evaluation process involves assessing various aspects of the training, from its content and

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delivery methods to its outcomes and long-term impacts on the county's administration. Scholars and

experts provide valuable insights into the methodologies and importance of such evaluations. Firstly, the

evaluation process should begin with a thorough assessment of the training objectives and content.

According to Mutakha Kangu (2015), it is crucial to align training programs with the specific needs and

goals of the county government. Evaluators should examine whether the training objectives address the

identified skills gaps and knowledge deficiencies. This involves reviewing the curriculum to ensure it

covers relevant topics such as governance principles, financial management, public service ethics, and

sector-specific technical skills. Additionally, the evaluation should consider the relevance and currency

of the training materials, ensuring they reflect the latest best practices and legal frameworks.

The effectiveness of the training delivery methods must be evaluated. Yash Ghai and Jill Cottrell Ghai

(2011), emphasized the importance of using diverse and engaging training methods to enhance learning

outcomes. Evaluators should assess whether the training incorporated a mix of lectures, interactive

sessions, practical exercises, and e-learning components. This includes gathering feedback from

participants on the delivery style of trainers, the clarity of instructions, and the overall engagement level

of the sessions. Evaluators should also consider the logistical aspects of the training, such as the

adequacy of training facilities, accessibility of e-learning platforms, and the scheduling of sessions to

accommodate staff availability.

Furthermore, measuring the immediate and short-term outcomes of the training is a critical component of

the evaluation process. Ambreena Manji (1999), post-training assessments and surveys can provide

valuable insights into the effectiveness of the training programs. Evaluators should conduct pre- and

posttraining tests to measure the knowledge and skills gained by participants. Surveys and feedback

forms can capture participants’ perceptions of the training's usefulness, relevance, and applicability to

their job roles. This data helps in identifying the immediate impacts of the training and areas where

participants feel more confident and competent. Additionally, long-term evaluation is necessary to

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understand the sustained impact of training programs on service delivery and governance. Winnie

Mitullah (2016) examined the importance of tracking the long-term performance and behavior of trained

staff. Evaluators should monitor the performance of trainees over time, assessing how effectively they

apply the acquired knowledge and skills in their day-to-day work. This could involve performance

reviews, interviews with supervisors, and observation of job performance. Evaluators should also

analyze broader indicators of service delivery improvements, such as efficiency in public service

provision, reduction in corruption cases, and increased citizen satisfaction.

Incorporating feedback and continuous improvement mechanisms is crucial for the ongoing

effectiveness of training programs. John Mbaku (2007), stresses the importance of using evaluation

findings to refine and enhance training initiatives. Evaluators should compile comprehensive reports that

highlight strengths, weaknesses, and areas for improvement. These reports should be shared with

relevant stakeholders, including training providers, county officials, and the trainees themselves. Based

on the evaluation findings, training programs should be adjusted to better meet the evolving needs of the

county staff. This might include updating training materials, adopting new training technologies, or

introducing additional modules to address emerging challenges.

In conclusion, the evaluation of staff training programs in Nairobi County is a multifaceted process that

involves assessing the alignment of training objectives, effectiveness of delivery methods, immediate

and long-term outcomes, and continuous improvement mechanisms. Insights from scholars such as

Mutakha Kangu, Yash Ghai, Jill Cottrell Ghai, Ambreena Manji, Winnie Mitullah, and John Mbaku

emphasize the critical importance of thorough and ongoing evaluation. By systematically evaluating

training programs, Nairobi County can ensure that these initiatives are effectively enhancing the

capabilities of county staff, leading to improved service delivery, better governance, and increased public

trust in the devolved government system.

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4.7. Stakeholder Involvement in Staff Training for Devolution

Stakeholder involvement is crucial for the success of staff training programs in Nairobi County,

particularly within the framework of devolution. Engaging a wide range of stakeholders ensures that the

training programs are comprehensive, relevant, and effectively address the needs of the county

government and its citizens. This multi-stakeholder approach helps to foster collaboration,

accountability, and sustainability in training initiatives. The involvement of national and county

government officials is essential in designing and implementing effective training programs. According

to Yash Ghai and Jill Cottrell Ghai (2011), government officials play a pivotal role in setting the agenda

and priorities for training based on policy frameworks and governance goals. In Nairobi County,

collaboration between national government bodies, such as the Ministry of Devolution and Planning, and

the county government ensures that training programs align with national policies and local needs. This

coordination helps in standardizing training content, avoiding duplication of efforts, and ensuring that

the training addresses critical governance issues relevant to both levels of government.

The participation of academic institutions and training organizations adds significant value to the

training programs. These institutions bring expertise in curriculum development, pedagogy, and the latest

research in governance and public administration. Mutakha Kangu (2015) the importance of leveraging

academic expertise to develop rigorous and impactful training programs. Universities and training

institutes can provide specialized courses, certifications, and professional development opportunities

tailored to the needs of Nairobi County staff. Their involvement ensures that the training programs are

grounded in theoretical knowledge and best practices, enhancing the overall quality and effectiveness of

the training. Additionally, the engagement of civil society organizations (CSOs) and community groups

is crucial for ensuring that training programs are inclusive and responsive to the needs of the citizens.

Ambreena Manji (1999), highlighted the role of CSOs in advocating for transparency, accountability, and

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citizen participation in governance. Involving these organizations in the training process helps to

incorporate the perspectives of diverse community.

Moreover, local communities themselves are vital stakeholders in the training process. Engaging

community members helps ensure that training programs are relevant to the actual needs and

expectations of the residents. According to Ambreena Manji (1999), community involvement in

governance processes leads to more effective and sustainable outcomes. In Nairobi County,

incorporating feedback from community consultations and participatory planning sessions can help tailor

training programs to address specific local issues, such as service delivery in informal settlements or

public health challenges. This bottom-up approach fosters a sense of ownership and accountability

among county staff and encourages them to be more responsive to the needs of the communities they

serve. The development partners and international organizations can provide critical support in terms of

resources, expertise, and best practices. Mutakha Kangu (2015) partnerships with international agencies

can bring in technical assistance, funding, and exposure to global best practices.

In conclusion, stakeholder involvement is fundamental to the success of staff training programs for

devolution in Nairobi County. Government officials, civil society organizations, local communities, and

development partners each bring unique contributions that enhance the relevance, inclusivity, and

effectiveness of training initiatives. By fostering collaboration among these stakeholders, Nairobi County

can ensure that its staff training programs are well-rounded, address local needs, and contribute to the

overall goals of devolution, thereby improving service delivery and governance for all residents.

4.8. Importance of staff training in devolution implementation

Staff training plays a pivotal role in the effective implementation of devolution in Nairobi County, a

complex process influenced by scholarly insights over the years. Scholars have underscored several

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critical aspects where training is crucial. Scholars such as Adamolekun (2012) emphasized that staff

training enhances understanding and commitment to the principles of devolution among employees. This

foundational knowledge is essential for aligning staff with the goals of decentralized governance,

ensuring that they comprehend their roles in improving service delivery and governance efficiency.

Technical competence highlighted by Olowu (2003) is critical in Nairobi County's context, where

diverse functions such as urban planning, healthcare management, and education administration are

devolved. Training equips staff with specialized skills and knowledge necessary for effective

performance in these areas, thereby optimizing resource utilization and service quality.

Thirdly, the importance of ethical standards and transparency, as discussed by Mwangi and Karugu

(2016), is crucial in combating corruption and enhancing accountability within Nairobi County. Training

programs that emphasize ethical behavior and adherence to legal frameworks instill a culture of

transparency among employees, fostering public trust and confidence in the devolved administration.

Moreover, scholars like Chege (2015) highlight the role of training in fostering innovation and adaptive

capacity within county governments. Nairobi County faces unique urban development challenges and

social welfare needs that require innovative solutions. Continuous learning through training programs

enables staff to stay abreast of emerging trends and technologies, empowering them to address evolving

community needs effectively.

Furthermore, inter-departmental collaboration and teamwork, emphasized by Mugo and Ombui (2019),

are essential for coordinated service delivery under devolution. Training that promotes communication

skills, teamwork, and understanding of interdependencies enhances collaboration among different

departments in Nairobi County, facilitating holistic approaches to problem-solving and service provision.

In addition, scholars such as Ochieng and Obura (2018) highlight the role of training in enhancing

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employee motivation and retention. Investing in staff development boosts morale, increases job

satisfaction, and reduces turnover rates among employees in Nairobi County. This continuity ensures

stability in service delivery and preserves institutional knowledge essential for sustained development

outcomes.

In conclusion, integrating scholarly insights on staff training is essential for the successful

implementation of devolution in Nairobi County. By emphasizing understanding of devolution

principles, technical competence, ethical standards, innovation, collaboration, and employee motivation,

training programs contribute significantly to achieving the goals of decentralized governance, improving

service delivery, and enhancing overall governance effectiveness in Nairobi County.

4.9 Effectiveness of staff training programs in Nairobi County

Assessing the effectiveness of staff training programs in Nairobi County involves considering insights

from scholars over the years, highlighting various dimensions of impact and improvement. The study

sought to assess the effectiveness of staff training programs in Nairobi County, which offers one of the

largest headquarters where essential and skilled staff are sophisticated at both quick and lengthy periods.

A thankful review of the results indicated that the staff training impact is more seen and practiced in

enhancing the capabilities and skills of officers. Secondary to this is enhancing personnel performance,

job satisfaction, and efficient execution of mandated roles. The utilization of the practical lessons

gathered from training has always resulted in a situation where the staff members are more equipped to

effectively handle the issues that emerge in the course of executing daily activities. The training is

considered to be what's ultimately significant and worthwhile to the organization that strives to exceed

the provision of services and that is truly loyal to and concerned for the future of its staff.

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Chirchir and Koskei (2014) emphasize that effective training programs enhance employee skills and

knowledge, crucial for addressing the diverse challenges faced by Nairobi County. By focusing on

technical competencies in areas like urban planning, healthcare management, and education

administration, training ensures that staff are equipped to handle their responsibilities competently, thereby

improving service delivery efficiency. Another impact on organizational performance is underscored by

studies such as Ondimu and Ochieng' (2017), which highlight how training contributes to enhanced

productivity and performance metrics within county departments. Well-trained employees are more

likely to adhere to best practices, optimize resource allocation, and innovate solutions to complex

problems, ultimately leading to improved outcomes for residents of Nairobi County.

The role of training in fostering a culture of accountability and transparency is crucial, as discussed by

Mwirichia and Mureithi (2019). By imparting knowledge on ethical standards, legal frameworks, and

governance principles, training programs help mitigate corruption risks and promote ethical behavior

among staff. This transparency builds trust with citizens and stakeholders, essential for effective

governance and sustainable development initiatives. Moreover, the adaptability and responsiveness of

county services are enhanced through continuous learning and development, as noted by scholars such as

Muthoni and Waweru (2016). Training enables staff to stay updated with emerging trends, technological

advancements, and evolving community needs. This adaptive capacity ensures that Nairobi County

remains proactive in addressing new challenges and opportunities, contributing to long-term resilience

and development.

Furthermore, scholars like Kamau and Nyaboga (2018) highlight the role of training in promoting

interdepartmental collaboration and teamwork. Effective communication skills and a shared

understanding of organizational goals foster cohesion among departments, enabling seamless

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coordination in service delivery. This collaborative approach ensures that Nairobi County operates

cohesively towards common objectives, leveraging collective expertise for maximum impact. Lastly, the

impact of training on employee motivation and retention is crucial for organizational stability, as

discussed by Ongori (2007). Investing in staff development programs not only improves job satisfaction

but also reduces turnover rates by demonstrating a commitment to employee growth and well-being.

Retaining skilled personnel ensures continuity in service provision and preserves institutional

knowledge, critical for sustained development efforts in Nairobi County.

In conclusion, integrating insights from scholars over the years underscores the multifaceted benefits of

effective staff training programs in Nairobi County. By enhancing skills, improving performance

metrics, fostering accountability, promoting innovation, facilitating collaboration, and boosting

employee morale, training initiatives contribute significantly to the county's governance effectiveness

and overall development trajectory. Continued investment in tailored training programs tailored to the

county's needs is essential for achieving sustainable growth and meeting the evolving demands of

Nairobi's diverse population. Staff training is a significant employee entitlement in any sector,

particularly in the public service where employee skills contribute to effective public service delivery.

Staff training, in addition, as Ying declared, is an influential human resource instrument that has an

enormous influence on the gratifying and nourishing, highly successful endeavors between organization

and employee, and contributes to the development of an efficient public service. Training, furthermore,

raises the educational and occupational prospects and brings opportunities to staff members of an

organization. Training, in particular, empowers chief actors and staff to embrace devolution systems

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CHAPTER FIVE

SUMMARY OF FINDINGS, DISCUSSIONS, CONCLUSIONS, AND RECOMMENDATIONS

5.1 Summary of Findings

In conclusion, this introductory chapter of this study provided a brief overview of the background,

problem statement, research objectives and research questions for this study. The chapter also

emphasized the importance of the study and described its limits. This set the groundwork for the rest of

the paper, laying the groundwork for the study effort. This research has the potential to significantly

contribute to our understanding of the impact of devolution on the economic development in Kenya. The

scope of this research is limited to Nairobi County. However the findings of this study could be applied

to the other counties of Kenya. The availability of data and the subjective nature of the some of the

research questions are two the study’s shortcomings. Despite these limitations, this work has made an

important contribution to our understanding of the impact of devolution on economic development in

Kenya. The findings of this study could be used to inform future research on the Nairobi County and to

help policymakers make decisions about the future.

The study highlights the crucial role of financial, human, and institutional resources in the effective

implementation of devolution in Kenya, emphasizing the need for adequate budget allocations and

resource mobilization. Kimenyi, M.S. (2013) offered insights into the financial and operational

challenges faced by county governments, particularly Nairobi.

Despite the Senate's approval of equitable resource distribution for all 47 counties, significant challenges
persist, particularly in Nairobi, which faces higher operational costs due to its status as the national capital.

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The devolution has aimed to enhance local economic growth, job creation, and infrastructure
development
by transferring key functions such as healthcare, education, and public works to local governments.

However, limited resources and capacity constraints have hindered these efforts, underscoring the
importance of strategic resource allocation and mobilization to support the county governments in

fulfilling their mandates and addressing the governance capacity crisis.

The exchange of this type that resulted with interlocutor inspired heated debates in parliament. One

guest stressed that existing quotas had to be lifted, and the rampant corruption that had allowed

outsiders to exploit the situation. The urban development cabinet executive member responded that

the notion of racism struck a responsive chord with him because creating privileged positions for

elites was centralist business

Subsequent to this study, the following findings were made:

5.2. Conclusions

The costs of transition were nearly equal to the gains as both had been exaggerated. Theition from the

central system to devolution had led to the popularity of the problem of regionalism, diversion of donor

funding, salary demands of the representatives, competition, and rent-seeking behavior promoting

political patronage, political interference in the control of the CECs, inefficiency in institutions rebuilt

around the change, backlash, and elite displacement. It was further demonstrated that since gaining

political power, politicians are more accountable to their political mandarins rather than accountable to

the residents who elected them to deliver the services. The politicians prefer competing with the central

government, and they delay theorization processes of the development projects approved by the

residents. They use judicial processes to delay the approval of the same to retain political power’s study

aimed at establishing the impacts of devolution on economic development. These impacts included

102
improving the quality of life of the residents in the capital city; economic benefits as a result of reduction

in wasteful spending at the national government through better and sustainable harmonization of the

relations between the county and the national government; and improvements in the delivery of services,

thereby increasing economic activities. As deduced from the results, the levels of the governor's

achievement in delivering not only the devolved functions but also the national government functions

considered in the research were not satisfactory. The nature of the gains anticipated from the study took

longer to realize and had been overrated in comparison to the actual findings of the research. However,

devolution had promoted equity, expanded economic opportunities, and lowered the cost of doing

business. It has renewed the residents' trust in governance and has instilled people's participation,

transparency, and accountability.

5.3. Recommendations

For instance, in making key planning and budgeting decisions, relevant units, departments, and

committees at the county assemblies are able to provide a better understanding of both the process

and the budget than their counterparts at the central level. As such, the central government should

increasingly work with such functionaries and begin to delegate the function as allowed under the

constitution. Moreover, counties should devise a way of engaging clearly with the private sector and

creating an enabling environment for business, hence availing benefits in terms of revenue growth

and achieving the expected economic development outcomes. The counties must balance the need to

raise local revenues with the reality of promoting economic activities and equity among residents.

On their part, the central government should also give with one hand as they take with the
Other. They should also ensure that the devolved functions are well funded, thereby enabling them to

realize their goals. Counties can only raise enough revenue if they are empowered to formulate and

implement strategies that will enhance economic activities within their jurisdictions. It is

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Therefore, important that the central government recognize and support locally grown initiatives to

foster development at the county level.

That county governments should work round the clock to friend smooth working relationships with

the central government. They should refrain from irritating the central government as the central

government will always have the upper hand in sourcing funding for the counties. On the other hand,

county governments should invest heavily in building the capacity of their own local revenue bases

through improving service delivery or through setting up systems and strategies to expand these local

tax bases.

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Reference

1. Government Reports: Kenyan National Bureau of Statistics, Ministry of Devolution and Planning.

2. Academic Journals: Articles from journals such as the Journal of African Economies, World

Development, and Public Administration and Development

3. Baskin, J. and Miranti, P. (2001) China: Preventing Municipal Fiscal Crisis, Issues and Options, Working

Paper Series on Development Economics, US/Edi Research Partnership Vol. 1, No.

4. International Organizations: Reports from the World Bank, United Nations Development Program

(UNDP), and other relevant bodies

5. Katana, G. (2013). Devolution and Economic Development in Kenya: An Analysis of the Impact of County

Governments. Nairobi: University of Nairobi Press.

6. Kangu, J. M. (2015). Kenya's Devolution: The Role of County Governments in Development. Nairobi:

Strathmore University Press.

7. Wanjiru, R., & Chege, J. (Eds.). (2016). Devolution and Local Economic Development in Kenya. Nairobi:

Jomo Kenyatta Foundation

8. Bahl, R. (1968) 'Fiscal Federalism and the Role of Relatively Poor Governments', Public Finance, 23:
448-

541.

9. Alwan, H. A. J. (2005) The Impact of Fiscal Decentralization on the Economic Growth in Jordan, DEGIT

Conference Paper Archive Jörg Barbes.

10. Kinuthia, J., & Mwangi, A. (2018). The role of county governments in supporting small-scale businesses:

A case study of Nairobi County. Journal of Local Governance, 3(2), 45-62.

11. Mwangi, P., & Nyambura, R. (2019). Devolution and economic development: Lessons from Nairobi
County.

International Journal of Public Administration, 42(1), 78-92.

12. Nyaga, L., & Kimani, D. (2017). Enhancing economic development through small-scale businesses in

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Nairobi County. Journal of Development Economics, 29(4), 167-182.
Appendix 1: Criteria of study

These are the associationism or symbiotic interaction between the two bio- systems of central

Nairobi and Nairobi County confounding social or regional economic planning. In this context, the

associationism is taken to be the dependence of not only the City of Nairobi and City County of

Nairobi but also that of the outlying counties on Nairobi County as a regional strategic asset. On the

other hand, the symbiotic interaction creates and exploits the potential of a conducive supportive

investment and functional social environment for Nairobi city and the other counties for the supply

of complementary goods and services for the city's business system. This symbiotic interaction

between Nairobi City and Nairobi County is responsible for Nairobi's main city or downtown

expansion, while the population is rising or stagnating. Given the multi-functional character, the

inter- related complexity, and dynamism of the bio-ecological system, the city-nature interaction

brings about socio-economic adverse feedbacks, which require trade-offs. Various developed or

integrated township proposals have been submitted by many people to various city or central or

national government or Nairobi metropolitan plans, in preparation of city statistical data on various

Nairobi city aspects and city and/or county micro-economy investigation reports undertaken to the

key specific impacts on functions listed in Figure 4.1, whose manifestation provided supporting

evidence for potential forecasting of socio- economic problems as a city denatured. In its advanced

stages, with optimization of desirable land use attributes and amenities located at atypical site-

specific locations, for Nairobi, the consequence will be its inability to create and exploit any further

its potential of a conducive supportive investment or functional social environment required for

fostering successful land uses and economies. The establishment and maintenance of its regional

strategic assets may diminish, which may impact negatively the awareness that policymakers,

planners, and residents alike have of Nairobi's global gateway city attributes to the detriment of the

106
country and region. Winning investors over to establish their manufacturing, trading, or business

facilities in Nairobi may be frustrated, which could slow down economic growth.

Appendix 2. Research Plan

2024

Activity Jan -Feb Mar- Apr May- Jun July - Aug Sept -Oct

Topic selection

Concept paper

writing

1st correction

Defense

Piloting

Data collection

Analysis

Preparation of 1st

draft

2nd correction

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Final submission

Appendix 3: Research Budget

ITEM COST (KSH)

Writing material 1,500

Transport 4,000

Printing and Binding 4,000

Miscellaneous 1,000

Total 10,500

Source: annetmwikali, 2024

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Appendix 4: list of interviewees

No. Name Age Sub county Date of interview

1 Patrick Angasa 42 City hall 06/06/2024

2 Christine kirigha 48 City hall 06/06/2024

3 Jazz kemunto 46 Embakasi East 10/07/2024

4 Carolyne nyambati 39 Embakasi East 10/07/2024

5 Moses Omondi 50 Kamukunji 15/07/2024

6 Faith Chebet 28 Kamukunji 15/07/2024

Ann Mbula 32 Embakasi west 16/07/2024


7

8 Rex Omondi 35 Embakasi west 16/07/2024

9 Patricia Mwikali 29 Embakasi West 16/07/2024

10 Dickson Lincon 32 Starehe 17/07/2024

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MAP AREA

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Common questions

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Bosire and Gikonyo (2013) provide several key lessons for policymakers from the initial phase of devolution implementation in Kenya. They highlight the promise of devolution in enhancing economic development by making government closer to the people, which improves efficiency and responsiveness of public service delivery. Policymakers should focus on building local capacity and ensuring robust institutional frameworks to address administrative challenges. Furthermore, fostering a culture of accountability and community engagement is essential. Policymakers must also pay attention to managing regional disparities to ensure balanced national development .

Smoke (2003) emphasizes that the success of devolution in driving economic development depends on several critical factors. Foremost is the presence of adequate fiscal resources for local governments to enable effective implementation of development projects and essential services provision. Additionally, building institutional capacity at the local level is vital to ensure competent policy formulation and execution. Effective intergovernmental coordination is necessary to foster coherency in policy implementation, preventing fragmentation and inefficiencies. Moreover, balancing decentralization with national oversight is crucial to mitigate risks of local elite capture and corruption. A culture of accountability and civic engagement also underpins successful devolution .

Devas and Rao (2003) argue that citizen participation and social inclusion are vital for the decentralization process as they ensure that economic development is more inclusive and equitable. By involving local communities in decision-making, local governments can better align economic policies with the actual needs and aspirations of the citizenry. This participation fosters transparency, accountability, and ownership of the development initiatives, which enhances their effectiveness and sustainability. Citizen engagement encourages diverse perspectives, promoting innovative and more representative solutions to local challenges .

Cheeseman, Lynch, and Willis (2016) identify several potential risks related to devolution in the Kenyan context. One significant risk is the reinforcement of ethnic divisions, as devolution could exacerbate local-level tensions and rivalries. Another risk is the potential for local-level corruption, where decentralized power might lead to mismanagement and elite capture of resources. These challenges underscore the need for continuous capacity building, transparent governance practices, and strong intergovernmental coordination to ensure that devolution leads to sustainable and equitable economic development .

Successful staff training programs in the context of devolution are ensured by several critical components. First, alignment with devolution principles is essential, as training must make staff understand their roles in decentralized governance. Technical competence, focusing on diverse functions like urban planning and healthcare management, is necessary to enhance service quality. Emphasis on ethical standards, transparency, and accountability fosters organizational integrity. Furthermore, fostering innovation through continuous learning and collaboration among departments enhances adaptive capacity. Lastly, involving stakeholders, including government officials, academic institutions, civil society, and international partners, ensures training programs are relevant, inclusive, and effective .

One major challenge is the uneven capacity among local governments, which can result in discrepancies in the effectiveness of policy implementation and service delivery. Furthermore, insufficient fiscal resources allocated to county governments may hinder their ability to execute development projects and provide essential services. Institutional capacity building and effective intergovernmental coordination are crucial to overcome these challenges. Additionally, the political dynamics at the local level, such as ethnic tensions and power struggles, might impede the equitable distribution of resources and the benefits of devolution. Lastly, there is a risk of fragmentation and inefficiencies if local governments lack coordination and collaborative mechanisms .

Staff training is pivotal for the effective implementation of devolution in Nairobi County. According to scholars like Adamolekun (2012), training enhances understanding and commitment to devolution principles, aligning staff to governance goals. Olowu (2003) emphasizes that training equips staff with technical skills essential for urban planning and service delivery. Training programs that instill ethical standards, as discussed by Mwangi and Karugu (2016), help combat corruption and enhance accountability. Additionally, training fosters innovation and adaptive capacity, critical for addressing unique urban development challenges in Nairobi. Inter-departmental collaboration and enhanced employee motivation are other significant benefits of staff training .

Decentralization can enhance economic development by allowing local governments, such as county governments, to tailor policies and investments to specific local needs and priorities. With their closer proximity to local communities, local governments possess better knowledge of the local economic conditions, enabling them to design targeted development strategies. This approach facilitates more efficient resource allocation, leading to improved service delivery and increased investment attraction. Additionally, decentralization enhances public participation and accountability, as citizens can more easily hold local governments accountable, which improves governance, reduces corruption, and enhances resources utilization for economic development .

Stakeholder involvement is crucial for the success of staff training programs in the context of devolution as it ensures that the programs are comprehensive, relevant, and effectively address the needs of both the county government and its citizens. Engaging national and county government officials guarantees alignment with policy frameworks and governance goals. Academic institutions and training organizations bring expertise in curriculum development and best practices, while civil society organizations and community groups ensure inclusiveness and responsiveness to citizen needs. Additionally, partnerships with development partners and international organizations provide critical resources and exposure to global best practices, enhancing the relevance and effectiveness of training initiatives .

Kimenyi and Meagher argue that devolution has the potential to impact regional disparities positively and promote economic equity by empowering historically marginalized areas. By devolving power from the central government to local governments, regions that have been overlooked in terms of resource allocation gain the autonomy to address their unique needs. This empowerment can lead to more tailored economic policies and equitable public service delivery, thus promoting a more balanced national development. However, they caution that this is contingent on the capacity of local governments to manage resources efficiently and the presence of robust institutional frameworks .

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