The phrase “the poor get poorer while the rich get richer” describes widening inequality, and in Kenya, this is driven by several interconnected structural, political, economic, and social factors. Here’s a breakdown of why this happens:
1. Unequal Access to Education and Opportunities
- Quality education is often only accessible to the wealthy, especially in private schools or elite public institutions.
- Poor families can’t afford higher education, which limits social mobility.
- Even when education is completed, job opportunities are scarce, especially in rural areas.
2. Corruption and Patronage Networks
- Corruption diverts public resources away from essential services like healthcare, education, and infrastructure.
- Political patronage means that access to government jobs, contracts, and opportunities often depends on connections rather than merit.
- The wealthy can influence policy to protect their interests, while the poor are left out of decision-making processes.
3. Taxation and Wealth Concentration
- The tax system tends to be regressive, with the poor bearing a relatively heavier burden compared to the rich.
- Wealthy individuals and corporations often evade taxes or benefit from loopholes.
- Informal workers (many of whom are poor) pay VAT and other indirect taxes but receive few benefits in return.
4. Land Ownership and Land Grabs
- Land is a key asset in Kenya, but historical injustices and political favoritism have left most land in the hands of a few.
- Land grabs by elites push out small farmers and poor communities, cutting off their means of livelihood.
- Urban housing is also increasingly unaffordable, leading to the expansion of informal settlements.
5. Financial Exclusion
- Many poor people lack access to banking, credit, and investment tools.
- Wealthy people have assets that can grow through investments, while the poor live day-to-day, often borrowing at high interest rates.
- Mobile money (like M-Pesa) has helped somewhat, but deep inequality in financial literacy and access remains.
6. Job Market and Informal Economy
- The formal job market is highly competitive and limited.
- The majority of Kenyans work in the informal sector, where wages are low, jobs are insecure, and there are no social protections.
- Rich individuals create or own businesses and employ others; they accumulate capital while workers remain dependent.
7. Cost of Living and Inflation
- Prices for food, fuel, transport, and housing have risen faster than wages, hurting the poor more.
- The rich are often cushioned by multiple income sources or foreign currency holdings.
8. Policy and Governance
- Government spending often favors urban infrastructure or sectors that benefit the elite (e.g., big agribusiness or real estate).
- Rural areas and marginalized communities receive fewer resources and less investment.
In Summary:
The rich get richer in Kenya because they:
- Have access to power, resources, and networks,
- Can protect and grow their wealth through investment and influence,
- Face fewer risks due to financial buffers.
The poor get poorer because they:
- Face systemic barriers to education, employment, and capital,
- Are more vulnerable to economic shocks,
- Are often excluded from policy-making and development planning.
Would you like this analysis with data or case studies (e.g., land distribution, education stats, income inequality trends)?