Kenya ranked among most unequal societies

More recently, the government has responded to mass poverty with the roll out of multi-billion shilling plans meant to create jobs and shield the poorest from mass starvation.

The government spent Sh3.8 billion on small and medium sized firms last year but most of the projects have suffered under the weight of corruption and poor execution.

Large sums of money was also spent in the maize subsidy programme meant to cushion the vulnerable from high food prices but the state is estimated to have lost Sh23.4 billion to bureaucrats and political wheeler-dealers leaving the targeted segments of the population in a neutral position.

Persistence of the high unemployment rates pose the risk of widening the income gap even further.

The government estimates that the youth, in particular, suffer from a 21 per cent unemployment rate, excluding those in colleges.

“A large number of people outside gainful employment means a slide further into poverty while the few who have jobs continue to build mountains of wealth year-on-year,” Tiberius Baraza of the Institute of Policy Analysis and Research (IPAR) said.

Mr Baraza says that while reducing unemployment is a huge challenge, the government could use the tax system to stimulate job creation.

“The current tax system is unfair to the working class; it is high and erodes disposable income that the working class can use to start new investments, in effect absorbing more people into employment,” he said.

Most analysts see the renewed fight against graft under the new constitution and devolved government as the only hope of stemming the tide of inequality.

The new law provides for 47 counties, each of which is charged with spearheading development including transport, public works, health services, trade development and regulation.

Once the counties are set up, the national government will share national revenue with the regional governments with at least 15 per cent of all annual revenue collections going to the regions.

Marginalised counties will share an additional 0.5 per cent of annual revenue collections.

The new Constitution has also provides fresh momentum to the fight again graft, promising to reduce theft of billions of shillings meant for development.

In the past few weeks, Nairobi Mayor Geoffrey Majiwa, former ministers William Ruto, Moses Wetangula, and Foreign Affairs permanent secretary Thuita Mwangi have resigned to pave way for investigations into allegations of graft involving their offices.

The Kenya Anti Corruption Commission has said it is investigating four other Cabinet ministers and over 40 heads of State corporations.