How Kenya and Ghana Compare in Terms of Development

This week, I am working from Ghana, and I found myself diving into the political and development plans comparing with Kenya. It is worth noting that Ghana is busy at the campaign season to elect its next president in December. Kenya and Ghana are two of Africa’s most prominent countries, both with rich histories and a growing influence in the region. Despite differences in geography and historical experiences, they share a common goal of achieving sustained economic development and improving the quality of life for their citizens. This article explores the development trajectories of these two nations, comparing their economies, governance, social progress, and the challenges they face.

Economic Development

Kenya and Ghana have both made significant strides in economic development, but they have followed different paths shaped by unique factors. Covid-19 hit the two countries economic stability, but they all responded somewhat differently.

Kenya, known as the economic hub of East Africa, has a more diversified economy. Agriculture remains its backbone, contributing around 33% to the GDP, with tea, coffee, and horticulture being major exports employing more than 40% of the population. However, the country’s service sector, particularly financial services, telecommunications, and tourism, has experienced rapid growth in recent years. Kenya is also home to a burgeoning tech industry, often dubbed “Silicon Savannah,” with Nairobi becoming a hub for startups and innovations. The government has invested in infrastructure projects such as the Standard Gauge Railway (SGR) and the Lamu Port-South Sudan-Ethiopia-Transport (LAPSSET) corridor, which are designed to stimulate regional trade.

Also Read: Ghana Officials Fly to Kenya to Learn from EPRA

In contrast, Ghana’s economy is heavily reliant on natural resources, particularly gold, cocoa, and oil. Gold and cocoa have been the country’s primary exports for decades, while the discovery of oil in 2007 transformed the nation’s economic landscape. The oil sector has become a significant contributor to Ghana’s GDP and foreign exchange earnings. Although Ghana’s service sector, including banking and telecommunications, is growing, its heavy reliance on commodities exposes it to fluctuations in global prices.

Governance and Political Stability

The governance and political systems of Kenya and Ghana have evolved differently, influencing their respective development paths.

Kenya has had a more turbulent political history, characterized by ethnic divisions, corruption, and post-election violence, most notably after the 2007 general elections. The country has since made strides towards political reform, adopting a new constitution in 2010 aimed at devolving power, promoting transparency, and ensuring fairer political representation. Despite these reforms, governance challenges remain, particularly in curbing corruption and ensuring that all regions of the country benefit equally from development initiatives.

Ghana, on the other hand, is often regarded as one of Africa’s most stable democracies. Since returning to multiparty democracy in 1992, the country has successfully conducted several peaceful transitions of power. Ghana’s political stability is often cited as a key factor in attracting foreign investment and development assistance. However, like Kenya, corruption remains a challenge, and there are ongoing concerns about the effective management of its natural resources, particularly oil revenues.

Social Development and Education

Both countries have made notable progress in social development, particularly in education and healthcare, although they face different challenges.

In Kenya, the government introduced free primary education in 2003, leading to a surge in school enrollment. The country has since made strides in improving secondary and tertiary education. Kenya’s literacy rate stands at over 80%, and the country has a well-established network of public and private universities. However, challenges remain in ensuring quality education, especially in rural areas, and addressing the growing number of unemployed graduates.

Ghana also introduced free primary education earlier, in the 1990s, and followed up with a policy of free senior high school education in 2017. This has resulted in increased enrollment rates across all levels of education, with a literacy rate of around 79%. However, similar to Kenya, Ghana faces challenges in maintaining education quality and addressing the mismatch between graduates and labor market demands.

Healthcare Systems and Social Welfare

Healthcare remains a critical area of focus for both Kenya and Ghana. Kenya’s healthcare system has seen improvements in maternal and child health services, thanks in part to the introduction of the National Hospital Insurance Fund (NHIF). However, access to quality healthcare services is still uneven, with rural and remote areas suffering from a shortage of healthcare professionals and facilities.

Ghana’s healthcare system is somewhat more advanced, particularly due to the National Health Insurance Scheme (NHIS) introduced in 2003. The NHIS has significantly improved access to healthcare, especially for low-income households. However, the system is under strain due to financial constraints, and there are concerns about its sustainability. Both countries still struggle with non-communicable diseases, infectious diseases like malaria, and issues related to healthcare infrastructure.

Infrastructure Development

Kenya’s infrastructure development has been more aggressive, driven by major projects such as the SGR, highways, and port expansions. These efforts are part of Kenya’s Vision 2030 development plan, aimed at transforming the country into a middle-income economy. However, these projects have led to a sharp rise in public debt, raising concerns about the long-term sustainability of infrastructure financing.

Also Read: Ghana’s Newly Imported Train Crashes While on Test Run

Ghana has also invested in infrastructure, particularly in energy and transport. The country has made significant strides in expanding its electricity grid, and it has one of the highest rates of electricity access in sub-Saharan Africa. However, inadequate road infrastructure remains a challenge, especially in rural areas. Like Kenya, Ghana’s public debt has risen due to borrowing for infrastructure development.

Conclusion

Both Kenya and Ghana face numerous challenges as they strive to sustain their development. In Kenya, political instability, ethnic divisions, and corruption are significant barriers to progress. Moreover, income inequality and high youth unemployment threaten the country’s social fabric. For Kenya to maintain its growth trajectory, it must focus on political reforms, strengthen institutions, and invest in sectors that create jobs for its young population.

Ghana, despite its political stability, faces the challenge of diversifying its economy away from over-reliance on commodities. While the oil sector has boosted GDP, the country remains vulnerable to external shocks. Ghana must also address issues related to corruption, effective resource management, and debt sustainability to ensure that its development gains are not undermined.

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