Does corruption affect poverty?

Abstract

Corruption is increasingly viewed as a major impediment to sustained economic development in Sub-Saharan Africa. Its importance is reflected in conditionalities for development assistance being proposed by members of the international donor community notably World Bank as it is recognized that corruption negatively affects poverty . This dissertation demonstrates that high 'and rising corruption increases poverty by reducing economic growth, the level and effectiveness of social spending and the formation of human capital and by perpetuating an unequal access to education. The objective of this dissertation is to investigate the relationship between corruption and poverty. Chapter One gives the background information to the problem of corruption in Kenya, the problem statement and the justification of the study. The research methodology and the results and discussions are covered in Chapter three and four respectively. Chapter five gives comprehensive conclusions, recommendations and suggestions for further studies.