The influence of foreign aid conditionalities on domestic policy making: a case study of policy making in Kenya, 1995 - 2005

Abstract

This study sought to establish the influence of foreign aid conditionalities on domestic policy decision making using Kenya as a case study. The study applied various methods of data collection involving both primary and secondary data. The funding relationship between aid giving and aid receivingg countries has consequences in the arena of international politics involving relationships between states. Most providers of aid are rich industrialized nations of the North while most aid recipients are poor, underdeveloped countries of the South. Aid creates a relationship of subordination and super-ordination between states. Though both rich and poor states are members of multilateral aid institutions, the richer states have more stakes and control over these institutions because of higher levels of financial contribution. Based on the evidence gathered and the analysis made, this study reached the following key conclusions in regard to the study objectives and hypotheses: 1] that foreign aid conditionalities influence decision making to a large extent in aid receiving countries; 2] that the institutions mandated with aid management play a prefecture role in policy making and implementation over governmental . institutions in Kenya; and 3] that a number of key policy decisions made by GOK during the review period can be traced to donor conditionalities. The views contained herein must be understood to be the views of individuals in GOK and donor agencies and may not be too critical, if at all, about aid policies.