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Examination Of Lending Institutions, Health Care, And Human Capital Examination In Kenya

1168 words - 5 pages

Research reveals that most developing nations make it a strategic plan to depend on lending services from global lending organizations (Njogu, 2007). IMF and the World Bank are the major lenders as far as this is concerned. This is a classical way of stimulating development in all sectors of the global economy. Up to date analyses show that nations that embark on international borrowing continue to register enormous multispectral advancements that would otherwise not be experienced. Kenya is one of the developing nations that offer a satisfactory case in point in regard to the examination of this topic. This nation has continued to gain heights in healthcare and human capital development compared to others in its region (Van, 2001).
The case of Kenya illustrates all the details of the input that has been brought about by the involvement of international lending organizations. There are political, economic and social advancements that exhibit the value of international borrowing. All of these can be put together into a common conclusion that the nation has successfully beefed up its limited resources through the use of external aid. In fact, there are real time developments to look into in the validation of international borrowing as a key in of development.

Funding from international lending institutions like the World Bank and the IMF and the social, economic, or political development of the country
The interaction of the nation of Kenya and the World Bank dates back to the times of initial development immediately after independence (Honohan & Beck, 2007). The nation developed strategic plans of beating poverty. This was one of the historical formations of the first internal government. Through grants from the World Bank, the state created a pool of resources that would be utilized in creating a strong foundation. This has continued up to date and has seen much development in the nation.
On political development, the nation found it easy to transition into the adoption of a new constitution. This was through a process of formation that was highly financed by lending from the World Bank (Van, 2001). History has so far proven that the new constitution has become a major political development in the nation. In addition, the implementation process of the constitution will take a gradual phase that is guaranteed success under the sponsorship of IMF.
Economically, the nation of Kenya has developed hilariously following consistent funding by the World Bank. There have been numerous developments in both physical and informational infrastructure pioneered through such funds. Roads and modern communication systems have been built in the nation within a significantly short period of time. A good example is the construction of Africa’s first Superhighway (Thika Superhighway) which joins the nation’s industrial city to Nairobi the central business district (Njogu, 2007). Other developments include the adoption of fiber optic cables that...

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