Over the years, remittances in East Africa Community (EAC) have grown remarkably becoming the sec... more Over the years, remittances in East Africa Community (EAC) have grown remarkably becoming the second largest capital flow after Official Development Assistance (ODA). However, most of the studies conducted on its effects are non EAC specific and have not expanded the analysis beyond output to other macroeconomic variables like consumption, investment and imports. This study therefore, sought to empirically test the link between remittances and its effect at macro level in EAC. The study was anchored on the Keynesian model of Economic growth and was guided by correlational research design. Panel data set for the period 1985-2014 from the World Bank database for the five EAC countries consisting of Kenya, Uganda, Tanzania, Rwanda and Burundi were used. The study used Two Stage Least Square (TSLS) method of estimation and established that foreign remittances have positive effects in EAC, an increase of remittances by one dollar, through impact and dynamic multiplier effects increased c...
Public procurement system in Kenya has undergone significant developments. The purpose of this st... more Public procurement system in Kenya has undergone significant developments. The purpose of this study was to determine the impact of different strategies adopted by public schools on their procurement processes. The research objectives were to: Establish the status of different procurement strategies used in public secondary schools, identify factors that influence prices, settlement time and customer satisfaction in public procurement in public schools and Determine the impact of procurement strategies on prices, settlement time and customer satisfaction. The study examined procurement strategies in local public secondary schools that covered sampled schools in Ndhiwa district. The study employed survey design in which the existing procurement strategies were considered. A sample was selected from the entire population using stratified random sampling technique in order to classify the entire population of 51 school administration officers and 340 staff member. Data was collected us...
Micro and small Enterprises (MSEs) sector contributes 20% to the GDP of the Kenyan economy. The v... more Micro and small Enterprises (MSEs) sector contributes 20% to the GDP of the Kenyan economy. The vision of micro finance is to promote the growth of micro enterprises. In pursuit of this vision, the rapid growth of Micro finance institutions (MFIs) has made MSEs access to credit more than doubled from 7.5% in 2006 to 17.9% in 2009. Despite this increase, a recent study has shown that over 50% of MSEs continue to have a deteriorating performance with 3 in every 5 MSEs failing within months of establishment. This brings to question the effectiveness of the role of micro finance in promoting growth of micro enterprises. The objective of this study was therefore to evaluate the effect of provision of micro finance on the performance of youth micro enterprises under K-Rep program in Kisii County, Kenya. The study employed a cross sectional survey design. A sample of 86 youth micro enterprises was selected from a population of 110 youth micro enterprises using simple random sampling techni...
Financial market conditions have been declining over the past ten years globally as most developi... more Financial market conditions have been declining over the past ten years globally as most developing countries continue to adopt more liberal financial policies, such conditions may amplify adverse shocks to the economy. The Kenyan Banking sector was highly profitable before the implementation of financial market frictions, with industry return on equity’s average of 20%. The ratio of credit supply to gross domestic product was 35%; and the economy grew by 5.6 %. Nonetheless, after its adoption, listed Banks recorded negative Earnings per Share growth of 8.2%, compared to an average positive growth of 14.1%, The Net Interest Margin declined to 8.4% from 9.4%. Studies relating to financial market frictions, flight to quality and Cost of Credit have produced mixed results. It was on this basis that this study sought to establish the effect of financial market frictions and flight to quality on cost of credit in Kenya. The study adopted correlational research design. Secondary data from...
Retailing contributes significantly to Kenya’s economy. In 2010 wholesale and retail sector, with... more Retailing contributes significantly to Kenya’s economy. In 2010 wholesale and retail sector, with a growth rate of 7.3 % stood second at driving Kenya’s growth. However retail traders have continued to face a myriad of problems a majority stemming from their inability to cope with high quality demands from their customers, rapid technological advances that render stocks obsolete too fast, supply disruptions owing to competitive pressures and increased government interventions in customer and supply markets. The margins of the retail traders continue to diminish with many of them opting out of business. Businesses which traditionally kept their operations to production or wholesale level have proceeded downstream to engage in retail activities in order to get closer to their customers and enhance their profitability and sustainability. Many of these retail trades engage in fierce competition to sustain themselves as a measure addressing the challenges above. Unfortunately the poor st...
Dr. Obange Nelson (PhD) Depatment of Economics, Maseno University, Kenya Sugar industry in Kenya ... more Dr. Obange Nelson (PhD) Depatment of Economics, Maseno University, Kenya Sugar industry in Kenya supports livelihood of 25% of the population both directly and indirectly. The industry accounts for about 15% of Agricultural Gross Domestic Product and is a major employer for most households in Western Kenya. Sugarcane outputs in Kenya have been on the decline from a modest 73 tons to 55 tons per hectare between the years 2009 and 2014. This decline has attracted researchers to this area of study; however, most studies have mainly focused on agricultural determinants without regard to the socio and economic determinants of cane production. This study therefore sought to establish socio-economic determinants of Sugarcane production among small scale farmers in Nyando Sugar Belt. The study was anchored on Production Theory and a total of 375 cane farmers responded to the questionnaires used to collect primary data. Secondary data were from farmers’ records. Reliability of the research i...
Objective: To experiment the potential of adopting bamboo as an alternative crop or source of liv... more Objective: To experiment the potential of adopting bamboo as an alternative crop or source of livelihood to tobacco farming in South Nyanza region, Kenya. Design: The study is being carried out on 120 field experimental sites where 2451 bamboo seedlings were planted between September and October 2006. The experiment comprised of 1,208 giant bamboo (Dendrocalamus giganteus) and 1,243 common bamboo (Bambusa vulgaris). Each seedling was planted in a cubical hole measuring 0.5m x 0.5m x 0.5m. The seedlings were planted under the same natural tobacco growing conditions in five different zones (i.e. zone A = hillside/steep sloping farmland, B = hillside/gentle sloping farmland, C = flat farmland/not wetland/ river bank, D = flat farmland/wetland and E = homestead) based on each farmer’s preference. Half of the bamboo clumps were randomly selected and tagged for monitoring. Hence, at most, 5 plants of each species were selected from the 20 planted by each farmer. The parameters which were ...
Tea sector contributes approximately 30% of export earnings in Kenya. Despite the industry contin... more Tea sector contributes approximately 30% of export earnings in Kenya. Despite the industry continuing to realize positive gross margins, high costs of production coupled with weak trends in export prices threaten its future contributions. Nitrogen fertiliser is mandatory in tea production and its appropriate use promotes tea growth rate and yields. Previous studies using different tea cultivars established that optimal fertiliser rates varied with clones and geographical area of production. However, economics of nitrogenous fertilisers use on same tea cultivar in different tea growing regions in Kenya remains undefined. This study evaluated response of NPKS 25:5:5:5 fertiliser applied at 0, 75, 150, 225 and 300 kg N/ha/year on clone BBK35 to determine the viable economic rate under uniform management in different locations (Karirana, Timbilil, Changoi, Sotik Highlands and Kipkebe) within Kenya. The study used time series tea yield data and corresponding variable costs from field exp...
The study was carried out on 120 field experimentation sites where 2420 bamboo cuttings were plan... more The study was carried out on 120 field experimentation sites where 2420 bamboo cuttings were planted under the same natural tobacco growing conditions in five different zones (that is, zone A = hillside/steep sloping farmland, B = hillside/gentle sloping farmland, C = flat farmland/not wetland/ riverbank, D = flat farmland/wetland and E = homestead) based on each farmer’s preference during the short rain season between September and October 2006. The experiment comprised of 1210 giant bamboo (Dendrocalamus giganteus) and 1210 common bamboo (Bambusa vulgaris). Each cutting was planted in a cubical hole measuring 0.6 x 0.6 x 0.6 m. Each farmer was given 20 bamboo cuttings (that is, 10 each of giant bamboo and common bamboo). Out of the 20 cuttings planted, five clumps of each species were randomly selected and tagged for monitoring survival rates, number of culms, culm heights and culm diameter. Frequency tabulations were used to present the data. Both species of bamboo perform well i...
This study assessed household assets and livelihood strategies among tobacco-growing households i... more This study assessed household assets and livelihood strategies among tobacco-growing households in comparison to non-tobacco-growing households in the south Nyanza region, Kenya. It was meant to provide basic information that could be used to advice on local enforcement of Article 17 of the WHO Framework Convention on Tobacco Control (FCTC) through crop and livelihood diversification as an alternative strategy to tobacco farming. A multi-stage and stratified random sampling procedure was used to select and survey 440 households (i.e. 210 tobacco and 230 non-tobacco) from the study area. The survey was carried out using a standard questionnaire with both structured and non-structured questions which was supplemented by four Focussed Group Discussions. The study established that an annual net income of a non-tobacco farmer is higher than that of a tobacco farmer with an average annual difference of $ 198 which is a significant margin in rural areas. Moreover, a tobacco farming househo...
Kenya’s growth target was set to be sustained at 10% from the year 2012 to 2030 .This growth was ... more Kenya’s growth target was set to be sustained at 10% from the year 2012 to 2030 .This growth was to be achieved through savings mobilization from 15.6% in 2006 to 30% in 2030. However, the Country’s growth is currently characterized by rising GDP and falling savings which raises the question as to whether there exists any perceptible relationship between the two. On this basis, the study sought to determine the causality between gross national income (GNI) and gross domestic savings (GDS) in Kenya. The study was anchored on Life Cycle Hypothesis and adopted correlation research design. Unit root tests were conducted using ADF and an automatic selection of Schwartz info criterion with a maximum lag of 7. Vector error correction mechanism was used to characterize the joint dynamic behavior of the variables. Granger causality test was used to show the causality linkage between income and savings. The study utilized World Bank Time series data since 1980 to 2013 and revealed that GNI gr...
In Kenya, bamboo is mostly found in Central, Western and Coastal provinces. It is mainly used in ... more In Kenya, bamboo is mostly found in Central, Western and Coastal provinces. It is mainly used in residential fencing, horticultural flower farming, handcrafts and minor cottage industry products. This study focused on bamboo market segments in Nairobi, Mombasa and Kisumu with the aim of addressing uncertainties in the market structure and lack of concrete information on market potentials of the products. A stratified random sample of 20 branches of major supermarkets (i.e.Uchumi Supermarket Limited and Nakumatt Holdings Limited) was conducted. Standard questionnaires, keyinformant interviews and participant observation were used to obtain primary data. Secondary data were obtained from International Network for Bamboo and Rattan database, conferences/workshops proceedings reports, scientific journals, periodicals and textbooks. This study revealed that most bamboo products are imported, a scenario that results in high product prices and low demand. Thus, the need to encourage domest...
Most of the tobacco production in Kenya is taking place in the Southern Nyanza Region, western Ke... more Most of the tobacco production in Kenya is taking place in the Southern Nyanza Region, western Kenya. The land under tobacco has continued to grow rapidly at the expense of traditional food crops and livestock activities, with high demands on wood-fuel, serious health issues, and demanding in terms of the farmer’s time. All these tobacco issues have led to increased poverty levels in the region. This kind of scenario calls for research that can solve a multiple of problems, i.e. economic and political problems, socio-cultural and gender issues, food insecurity concerns, occupational and environmental health hazards, and environmental concerns. This paper outlines the vision of the on-going 3-year research project on how tobacco production can be controlled through the diversification of household livelihood strategies among tobacco small-holder farmers. The study in particular is investigating on the existing potential of introducing Bamboo as an alternative and viable crop in the r...
Over the years, remittances in East Africa Community (EAC) have grown remarkably becoming the sec... more Over the years, remittances in East Africa Community (EAC) have grown remarkably becoming the second largest capital flow after Official Development Assistance (ODA). However, most of the studies conducted on its effects are non EAC specific and have not expanded the analysis beyond output to other macroeconomic variables like consumption, investment and imports. This study therefore, sought to empirically test the link between remittances and its effect at macro level in EAC. The study was anchored on the Keynesian model of Economic growth and was guided by correlational research design. Panel data set for the period 1985-2014 from the World Bank database for the five EAC countries consisting of Kenya, Uganda, Tanzania, Rwanda and Burundi were used. The study used Two Stage Least Square (TSLS) method of estimation and established that foreign remittances have positive effects in EAC, an increase of remittances by one dollar, through impact and dynamic multiplier effects increased c...
Public procurement system in Kenya has undergone significant developments. The purpose of this st... more Public procurement system in Kenya has undergone significant developments. The purpose of this study was to determine the impact of different strategies adopted by public schools on their procurement processes. The research objectives were to: Establish the status of different procurement strategies used in public secondary schools, identify factors that influence prices, settlement time and customer satisfaction in public procurement in public schools and Determine the impact of procurement strategies on prices, settlement time and customer satisfaction. The study examined procurement strategies in local public secondary schools that covered sampled schools in Ndhiwa district. The study employed survey design in which the existing procurement strategies were considered. A sample was selected from the entire population using stratified random sampling technique in order to classify the entire population of 51 school administration officers and 340 staff member. Data was collected us...
Micro and small Enterprises (MSEs) sector contributes 20% to the GDP of the Kenyan economy. The v... more Micro and small Enterprises (MSEs) sector contributes 20% to the GDP of the Kenyan economy. The vision of micro finance is to promote the growth of micro enterprises. In pursuit of this vision, the rapid growth of Micro finance institutions (MFIs) has made MSEs access to credit more than doubled from 7.5% in 2006 to 17.9% in 2009. Despite this increase, a recent study has shown that over 50% of MSEs continue to have a deteriorating performance with 3 in every 5 MSEs failing within months of establishment. This brings to question the effectiveness of the role of micro finance in promoting growth of micro enterprises. The objective of this study was therefore to evaluate the effect of provision of micro finance on the performance of youth micro enterprises under K-Rep program in Kisii County, Kenya. The study employed a cross sectional survey design. A sample of 86 youth micro enterprises was selected from a population of 110 youth micro enterprises using simple random sampling techni...
Financial market conditions have been declining over the past ten years globally as most developi... more Financial market conditions have been declining over the past ten years globally as most developing countries continue to adopt more liberal financial policies, such conditions may amplify adverse shocks to the economy. The Kenyan Banking sector was highly profitable before the implementation of financial market frictions, with industry return on equity’s average of 20%. The ratio of credit supply to gross domestic product was 35%; and the economy grew by 5.6 %. Nonetheless, after its adoption, listed Banks recorded negative Earnings per Share growth of 8.2%, compared to an average positive growth of 14.1%, The Net Interest Margin declined to 8.4% from 9.4%. Studies relating to financial market frictions, flight to quality and Cost of Credit have produced mixed results. It was on this basis that this study sought to establish the effect of financial market frictions and flight to quality on cost of credit in Kenya. The study adopted correlational research design. Secondary data from...
Retailing contributes significantly to Kenya’s economy. In 2010 wholesale and retail sector, with... more Retailing contributes significantly to Kenya’s economy. In 2010 wholesale and retail sector, with a growth rate of 7.3 % stood second at driving Kenya’s growth. However retail traders have continued to face a myriad of problems a majority stemming from their inability to cope with high quality demands from their customers, rapid technological advances that render stocks obsolete too fast, supply disruptions owing to competitive pressures and increased government interventions in customer and supply markets. The margins of the retail traders continue to diminish with many of them opting out of business. Businesses which traditionally kept their operations to production or wholesale level have proceeded downstream to engage in retail activities in order to get closer to their customers and enhance their profitability and sustainability. Many of these retail trades engage in fierce competition to sustain themselves as a measure addressing the challenges above. Unfortunately the poor st...
Dr. Obange Nelson (PhD) Depatment of Economics, Maseno University, Kenya Sugar industry in Kenya ... more Dr. Obange Nelson (PhD) Depatment of Economics, Maseno University, Kenya Sugar industry in Kenya supports livelihood of 25% of the population both directly and indirectly. The industry accounts for about 15% of Agricultural Gross Domestic Product and is a major employer for most households in Western Kenya. Sugarcane outputs in Kenya have been on the decline from a modest 73 tons to 55 tons per hectare between the years 2009 and 2014. This decline has attracted researchers to this area of study; however, most studies have mainly focused on agricultural determinants without regard to the socio and economic determinants of cane production. This study therefore sought to establish socio-economic determinants of Sugarcane production among small scale farmers in Nyando Sugar Belt. The study was anchored on Production Theory and a total of 375 cane farmers responded to the questionnaires used to collect primary data. Secondary data were from farmers’ records. Reliability of the research i...
Objective: To experiment the potential of adopting bamboo as an alternative crop or source of liv... more Objective: To experiment the potential of adopting bamboo as an alternative crop or source of livelihood to tobacco farming in South Nyanza region, Kenya. Design: The study is being carried out on 120 field experimental sites where 2451 bamboo seedlings were planted between September and October 2006. The experiment comprised of 1,208 giant bamboo (Dendrocalamus giganteus) and 1,243 common bamboo (Bambusa vulgaris). Each seedling was planted in a cubical hole measuring 0.5m x 0.5m x 0.5m. The seedlings were planted under the same natural tobacco growing conditions in five different zones (i.e. zone A = hillside/steep sloping farmland, B = hillside/gentle sloping farmland, C = flat farmland/not wetland/ river bank, D = flat farmland/wetland and E = homestead) based on each farmer’s preference. Half of the bamboo clumps were randomly selected and tagged for monitoring. Hence, at most, 5 plants of each species were selected from the 20 planted by each farmer. The parameters which were ...
Tea sector contributes approximately 30% of export earnings in Kenya. Despite the industry contin... more Tea sector contributes approximately 30% of export earnings in Kenya. Despite the industry continuing to realize positive gross margins, high costs of production coupled with weak trends in export prices threaten its future contributions. Nitrogen fertiliser is mandatory in tea production and its appropriate use promotes tea growth rate and yields. Previous studies using different tea cultivars established that optimal fertiliser rates varied with clones and geographical area of production. However, economics of nitrogenous fertilisers use on same tea cultivar in different tea growing regions in Kenya remains undefined. This study evaluated response of NPKS 25:5:5:5 fertiliser applied at 0, 75, 150, 225 and 300 kg N/ha/year on clone BBK35 to determine the viable economic rate under uniform management in different locations (Karirana, Timbilil, Changoi, Sotik Highlands and Kipkebe) within Kenya. The study used time series tea yield data and corresponding variable costs from field exp...
The study was carried out on 120 field experimentation sites where 2420 bamboo cuttings were plan... more The study was carried out on 120 field experimentation sites where 2420 bamboo cuttings were planted under the same natural tobacco growing conditions in five different zones (that is, zone A = hillside/steep sloping farmland, B = hillside/gentle sloping farmland, C = flat farmland/not wetland/ riverbank, D = flat farmland/wetland and E = homestead) based on each farmer’s preference during the short rain season between September and October 2006. The experiment comprised of 1210 giant bamboo (Dendrocalamus giganteus) and 1210 common bamboo (Bambusa vulgaris). Each cutting was planted in a cubical hole measuring 0.6 x 0.6 x 0.6 m. Each farmer was given 20 bamboo cuttings (that is, 10 each of giant bamboo and common bamboo). Out of the 20 cuttings planted, five clumps of each species were randomly selected and tagged for monitoring survival rates, number of culms, culm heights and culm diameter. Frequency tabulations were used to present the data. Both species of bamboo perform well i...
This study assessed household assets and livelihood strategies among tobacco-growing households i... more This study assessed household assets and livelihood strategies among tobacco-growing households in comparison to non-tobacco-growing households in the south Nyanza region, Kenya. It was meant to provide basic information that could be used to advice on local enforcement of Article 17 of the WHO Framework Convention on Tobacco Control (FCTC) through crop and livelihood diversification as an alternative strategy to tobacco farming. A multi-stage and stratified random sampling procedure was used to select and survey 440 households (i.e. 210 tobacco and 230 non-tobacco) from the study area. The survey was carried out using a standard questionnaire with both structured and non-structured questions which was supplemented by four Focussed Group Discussions. The study established that an annual net income of a non-tobacco farmer is higher than that of a tobacco farmer with an average annual difference of $ 198 which is a significant margin in rural areas. Moreover, a tobacco farming househo...
Kenya’s growth target was set to be sustained at 10% from the year 2012 to 2030 .This growth was ... more Kenya’s growth target was set to be sustained at 10% from the year 2012 to 2030 .This growth was to be achieved through savings mobilization from 15.6% in 2006 to 30% in 2030. However, the Country’s growth is currently characterized by rising GDP and falling savings which raises the question as to whether there exists any perceptible relationship between the two. On this basis, the study sought to determine the causality between gross national income (GNI) and gross domestic savings (GDS) in Kenya. The study was anchored on Life Cycle Hypothesis and adopted correlation research design. Unit root tests were conducted using ADF and an automatic selection of Schwartz info criterion with a maximum lag of 7. Vector error correction mechanism was used to characterize the joint dynamic behavior of the variables. Granger causality test was used to show the causality linkage between income and savings. The study utilized World Bank Time series data since 1980 to 2013 and revealed that GNI gr...
In Kenya, bamboo is mostly found in Central, Western and Coastal provinces. It is mainly used in ... more In Kenya, bamboo is mostly found in Central, Western and Coastal provinces. It is mainly used in residential fencing, horticultural flower farming, handcrafts and minor cottage industry products. This study focused on bamboo market segments in Nairobi, Mombasa and Kisumu with the aim of addressing uncertainties in the market structure and lack of concrete information on market potentials of the products. A stratified random sample of 20 branches of major supermarkets (i.e.Uchumi Supermarket Limited and Nakumatt Holdings Limited) was conducted. Standard questionnaires, keyinformant interviews and participant observation were used to obtain primary data. Secondary data were obtained from International Network for Bamboo and Rattan database, conferences/workshops proceedings reports, scientific journals, periodicals and textbooks. This study revealed that most bamboo products are imported, a scenario that results in high product prices and low demand. Thus, the need to encourage domest...
Most of the tobacco production in Kenya is taking place in the Southern Nyanza Region, western Ke... more Most of the tobacco production in Kenya is taking place in the Southern Nyanza Region, western Kenya. The land under tobacco has continued to grow rapidly at the expense of traditional food crops and livestock activities, with high demands on wood-fuel, serious health issues, and demanding in terms of the farmer’s time. All these tobacco issues have led to increased poverty levels in the region. This kind of scenario calls for research that can solve a multiple of problems, i.e. economic and political problems, socio-cultural and gender issues, food insecurity concerns, occupational and environmental health hazards, and environmental concerns. This paper outlines the vision of the on-going 3-year research project on how tobacco production can be controlled through the diversification of household livelihood strategies among tobacco small-holder farmers. The study in particular is investigating on the existing potential of introducing Bamboo as an alternative and viable crop in the r...
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