By Dr. Kariuki Muigua, PhD (Leading Environmental Law Scholar, Policy Advisor, Natural Resources Lawyer and Dispute Resolution Expert from Kenya), Winner of Kenya’s ADR Practitioner of the Year 2021, ADR Publisher of the Year 2021 and CIArb (Kenya) Lifetime Achievement Award 2021*
Transparency International defines ‘corruption’ as simply the abuse of entrusted power for private gain. Kenya’s Anti-Corruption and Economic Crimes Act, 2003 defines “corruption” to include: bribery; fraud; embezzlement or misappropriation of public funds; abuse of office; breach of trust; or an offence involving dishonesty — (i) in connection with any tax, rate or impost levied under any Act; or (ii) under any written law relating to the elections of persons to public office. These are just some of the activities that may be termed as corruption together with many forms of their derivatives. Corruption can be classified as grand, petty and political, depending on the amount of money lost and the sector where it occurs, where: grand corruption consists of acts committed at a high level of government that distort policies or the central functioning of the state, enabling leaders to benefit at the expense of the public good; petty corruption refers to everyday abuse of entrusted power by low and mid-level public officials in their interactions with ordinary citizens, who often are trying to access basic goods or services in places like hospitals, schools, police departments, and other agencies; and, political corruption is a manipulation of policies, institutions and rules of procedure in the allocation of resources and financing by political decision makers, who abuse their position to sustain their power, status and wealth.
The United Nations Convention against Corruption, the only legally binding universal anticorruption instrument, captures in its preamble the State Parties’ concern about the seriousness of problems and threats posed by corruption to the stability and security of societies, undermining the institutions and values of democracy, ethical values and justice and jeopardizing sustainable development and the rule of law. Corruption is considered to be rampant in many developing and poor countries, making them struggle with putting in place anti-corruption measures as part of their development strategy. Notably, corruption leads governments to intervene where they need not, and it undermines their ability to enact and implement policies in areas in which government intervention is clearly needed—whether environmental regulation, health and safety regulation, social safety nets, macroeconomic stabilization, or contract enforcement. The World Bank rightly points out that corruption is a complex phenomenon whose roots lie deep in bureaucratic and political institutions, and its effect on development varies with country conditions.
While the Constitution of Kenya 2010 captures the national values and principles of governance under Article 10 as well as the principles of leadership and integrity as captured under Chapter Six thereof, corruption is still widespread in Kenya. It has been pointed out in other studies that Kenya’s competitiveness is held back by high corruption levels that penetrate every sector of the economy, which is evidenced by: a weak judicial system and frequent demands for bribes by public officials leading to increased business costs for foreign investors; widespread tax evasion hindering Kenya’s long-term economic growth; and rampant fraud in public procurement. This is despite the fact that corruption, active and passive bribery, abuse of office and bribing a foreign public official are criminalized under the Anti-Corruption and Economic Crimes Act 2003, in addition to the Bribery Act of 2016 which seeks to strengthen the fight against the supply-side of corruption.
Arguably, the main problem lies with the inadequate enforcement of Kenya’s anti-corruption framework which is an issue as a result of weak and corrupt public institutions. According to the Transparency International Corruption Perception Index 2020 Report, Kenya was ranked position 124 out of 180, with a score of 31 out of possible 100. The lowest average regional score was Sub-Saharan Africa which had 32 out of 100, against Western Europe & European Union which scored 66 out of 100. Notably, Kenya has only gained a score of +4 since the year 2012. Indeed, in the past, President Uhuru Kenyatta has acknowledged corruption has reached levels that threaten national security. There have been widespread reports on recurrence of grand corruption scandals at the national level, ranging from pilfering public funds to scandals surrounding grand schemes and artificial inflation of the prices of large public projects, like the standard-gauge railway, to procurement related fraud that shook central government departments like the National Youth Service and State Department of Health.
As Transparency International rightly observes that corruption erodes trust, weakens democracy, hampers economic development and further exacerbates inequality, poverty, social division and the environmental crisis. It is worth pointing that these are the key elements of sustainable development agenda without which it remains a mirage. It is estimated that Kenya loses a third of its state budget – the equivalent of about $6 billion – to corruption every year. This affects domestic resource mobilization for SDGs investment. It also limits international private sector investment flows in sectors relevant for the SDGs into Kenya, posing a risk to delivering on the 2030 agenda for sustainable development. Thus, as part of laying the groundwork for the achievement of SDGs, there is a need for Kenya to renew irs commitment to the fight against corruption as part of review if its domestic resource mobilization efforts.
*This article is an extract from the Article “Resource Mobilization for Sustainable Development in Kenya” by Dr. Kariuki Muigua, PhD, Kenya’s ADR Practitioner of the Year 2021 (Nairobi Legal Awards), ADR Publisher of the Year 2021 and ADR Lifetime Achievement Award 2021 (CIArb Kenya). Dr. Kariuki Muigua is a foremost Environmental Law and Natural Resources Lawyer and Scholar, Sustainable Development Advocate and Conflict Management Expert in Kenya. Dr. Kariuki Muigua is a Senior Lecturer of Environmental Law and Dispute resolution at the University of Nairobi School of Law and The Center for Advanced Studies in Environmental Law and Policy (CASELAP). He has published numerous books and articles on Environmental Law, Environmental Justice Conflict Management, Alternative Dispute Resolution and Sustainable Development. Dr. Muigua is also a Chartered Arbitrator, an Accredited Mediator, the Africa Trustee of the Chartered Institute of Arbitrators and the Managing Partner of Kariuki Muigua & Co. Advocates. Dr. Muigua is recognized among the top 5 leading lawyers and dispute resolution experts in Kenya by the Chambers Global Guide 2022.
References
Muigua, K., “Resource Mobilization for Sustainable Development in Kenya,” (KMCO, 2021), Available at: http://kmco.co.ke/wp-content/uploads/2021/03/Resource-Mobilization-for-Sustainable-Development-in-Kenya-Kariuki-Muigua-24th-March-2021.pdf (accessed on 10/04/2022).