25 Jan 2011

Kenya behind Tanzania and Uganda according to Legatum

KiN Reports
According to the 2010 Legatum Prosperity Index, Kenya held the 104th position behind Tanzania (97) and Uganda (99). The report contains data that need scrutiny but which on general terms presents the hard tasks facing the Nairobi government now and beyond the 2012 elections.

The Legatum Prosperity Index is the world's "only global assessment of wealth and wellbeing and unlike other similar studies that rank countries by actual levels of wealth, life satisfaction or development, the Prosperity Index produces rankings based upon the very foundations of prosperity those factors that will help drive economic growth and produce happy citizens over the long term."

According to the Index, Kenya scored as follows:
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Governance - Ranked 100th
Most Kenyans are deeply suspicious of their country’s politics

Kenyan governance suffers many imperfections. The country places 61st with respect to the overall quality of its democracy, and just 86th for the effectiveness of its bureaucratic institutions. The relatively short six-year lifespan of its latest constitutional order points to above-average systemic instability. The country scores low in the Index both for constraints on the executive, and for the quality of its electoral process, placing 80th and 69th, respectively, on these variables. The public perceives corruption to be widespread in government and business, and the country is in the bottom five in the Index on this variable. Less than a quarter of the Kenyan population had confidence in their government when surveyed in 2009, while barely more than a third* had faith in the country's environmental policies and fewer than one in 10 felt positively about the country's efforts to tackle poverty. The rule of law is negligible, with the country placing 97th on this variable. The quality of regulation, while somewhat better by global standards, is still below the global average. Less than a third of the population expresses trust the judiciary and only a tenth of the population has faith in the honesty of the electoral process. Although seven in 10 people have confidence in the military, Kenya places just 61st, globally on this measure and in respect to political rights the country sits below the global average. Still, an above-average portion of the population had voiced an opinion to a public official in the year prior to the survey in 2009.

Economy - Ranked 107th
Kenya’s economy is one of the worst performing in the world, by almost any measure

Kenya places near bottom of the Index for most indicators of macroeconomic stability. Annual inflation is above 25%, while gross domestic savings are barely above 5% of GDP. Four out of 10 Kenyans are out of work according to official figures, and a surveyed employment rate of under 40% of the population in 2009 is likewise very poor. An exceptionally low proportion of Kenyans reported being able to afford adequate food and shelter in 2009, while less than a quarter were satisfied with their standard of living; both figures place Kenya in the bottom 10 countries on these variables. Understandably, a low 16% of Kenyans felt that there were sufficient job opportunities, and the country is in the bottom five for economic expectations. Average annual GDP per capita growth rate was 2.8% between 2004 and 2008. Kenya places 99th in the Index for the level of capital per worker, its proportion of high-tech exports to manufactured goods exports is low, and its firms sell into a relatively small market. Foreign direct investment is very low with Kenya placing 105th out of 110 countries on this variable, and the domestic credit market does not seem to be performing well as non-performing loans were 9% of the total. Still, more than three-quarters of Kenyans trusted their financial sector in 2009.

Health – Ranked 99th
Kenya suffers from high infant mortality and short expected life terms

Kenya’s health indicators are very poor. An 8% child mortality rate is ninth worst in the world and the country’s health-adjusted life expectancy stands at just 44 years. More than a quarter of the population is undernourished and a fifth of Kenyans are not immunised against basic diseases, including measles, placing the country in the bottom quartile on these variables. Health spending, at just $121 (PPP) per capita, places 93rd, internationally, and the country has below average provision of hospital beds. Less than half of the population has access to sanitation facilities and the country places 102nd for citizens’ satisfaction with water quality. The rate of deaths from respiratory diseases is high, and rates of tuberculosis infections are even higher; Kenya is among the worst 10 countries in the Index on the latter variable. Unsurprisingly, the country places 90th for health satisfaction among the public. Almost a quarter of the population report health problems that interfere with their daily lives. Fewer than seven in 10 respondents to a 2009 survey felt well-rested, and around six in 10, a below-average proportion, were satisfied with the beauty of their environmental surroundings. Nevertheless, an unusually low 24% of the population reported feeling stressed on the day prior to the survey in 2009.
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Read more at http://www.prosperity.com/rankings.aspx


Source: The 2010 Legatum Prosperity Index

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