Background Notes : Kenya (01/10)

Background Notes : Kenya (01/10)
Fri, 15 Jan 2010 14:00:38 -0600

Background Note: Kenya
PROFILE

OFFICIAL NAME:
Republic of Kenya

Geography
Area: 580,367 sq. km. (224,080 sq mi.); slightly smaller than Texas.
Cities: Capital--Nairobi (pop. 2.9 million; 2007 est.). Other cities--Mombasa (828,500; 2006 est.), Kisumu (650,846; 2005-6), Nakuru (1.3 million; 2005-6), Eldoret (193,830; 1999).
Terrain: Kenya rises from a low coastal plain on the Indian Ocean in a series of mountain ridges and plateaus which stand above 3,000 meters (9,000 ft.) in the center of the country. The Rift Valley bisects the country above Nairobi, opening up to a broad arid plain in the north. Highlands cover the south before descending to the shores of Lake Victoria in the west.
Climate: Tropical in south, west, and central regions; arid and semi-arid in the north and the northeast.

People
Nationality: Noun and adjective--Kenyan(s).
Population (July 2009 est.): 39 million.
Major ethnic groups: Kikuyu 22%, Luhya 14%, Luo 13%, Kalenjin 12%, Kamba 11%, Kisii 6%, Meru 6%.
Religions: Christian 80%, Muslim 10%, traditional African religions 9%, Hindu/Sikh/Baha'i/Jewish 1%.
Languages: English (official), Swahili (national), over 40 other languages from the Bantu, Nilotic, and Cushitic linguistic groups.
Education: First 8 years of primary school are provided tuition-free by the government. In January 2008, the government began offering a program of free secondary education, subject to some restrictions. Attendance--92% for primary grades. Adult literacy rate--74%.
Health: Infant mortality rate--57.4/1,000. Life expectancy--55.3 yrs (2007 est.).

Government
Type: Republic.
Independence: December 12, 1963.
Constitution: 1963.
Branches: Executive--president (chief of state, commander in chief of armed forces), prime minister (head of government), and two deputy prime ministers. Legislative--unicameral National Assembly (parliament). Judicial--Court of Appeal, High Court, various lower and special courts, includes Kadhi (Sharia) courts.
Administrative subdivisions: 140 districts, joined to form 7 rural provinces. The Nairobi area has special provincial status. The government has gazetted 37 new districts. The process of establishing these districts is ongoing.
Political parties: Over 40 registered political parties. Two coalitions, the Party of National Unity (PNU) and the Orange Democratic Movement (ODM), dominate the political party scene. PNU membership is filled by parties representing Kikuyu and closely related ethnic groups; ODM membership ranks are filled by parties representing nearly everybody else. PNU and ODM agreed in February 2008 to form a grand coalition government in a power-sharing arrangement that ended the political crisis erupting after disputed national elections in December 2007.
Suffrage: Universal at 18.

Economy
GDP (2008 est.): $30 billion.
Annual growth rate (2008): 1.7%.
Gross national income per capita (2008): $770 (Atlas Method).
Natural resources: Wildlife, soda ash, land.
Agriculture: Products--tea, coffee, sugarcane, horticultural products, corn, wheat, rice, sisal, pineapples, pyrethrum, dairy products, meat and meat products, hides, skins. Arable land--5%.
Industry: Types--petroleum products, grain and sugar milling, cement, beer, soft drinks, textiles, vehicle assembly, paper and light manufacturing.
Structure of economy (% of GDP): Services--59.5%; industry and commerce--16.7%; agriculture--23.8%.
Work force: Formal sector wage earners--1.95 million (public sector 30%; private sector 70%). Informal sector workers--6.4 million.
Trade (2008): Exports--$4.4 billion: tea, coffee, horticultural products, petroleum products, cement, pyrethrum, soda ash, sisal, hides and skins, fluorspar. Major export markets--Uganda, United Kingdom, Tanzania, Netherlands, United States, Pakistan. Imports--$9.9 billion: machinery, vehicles, crude petroleum, iron and steel, resins and plastic materials, refined petroleum products, pharmaceuticals, paper and paper products, fertilizers, wheat. Major suppliers--United Arab Emirates, India, China, South Africa, Japan.

PEOPLE
Kenya has a very diverse population that includes three of Africa's major sociolinguistic groups: Bantu (67%), Nilotic (30%), and Cushitic (3%). Kenyans are deeply religious. About 80% of Kenyans are Christian, 10% Muslim, and 10% follow traditional African religions or other faiths. Most city residents retain links with their rural, extended families and leave the city periodically to help work on the family farm. About 75% of the work force is engaged in agriculture, mainly as subsistence farmers. The national motto of Kenya is Harambee, meaning "pull together." In that spirit, volunteers in hundreds of communities build schools, clinics, and other facilities each year and collect funds to send students abroad.

Kenya has six full-pledged public universities: University of Nairobi, Jomo Kenyatta University of Agriculture and Technology, Egerton University, Moi University, Maseno University, Masinde Muliro University (most of these universities also have constituent colleges); and approximately 13 private universities, including United States International University. Public and private universities have a total enrollment of approximately 50,000 students with about 80% of these being enrolled in public universities (representing 25% of students who qualify for university admission). In addition, more than 60,000 students enroll in middle-level colleges where they study career courses leading to certificate, diploma, and higher diploma awards. International universities and colleges have also established campuses in Kenya where students enroll for distance learning and other flexible programs. Other Kenyan students pursue their university education abroad.

HISTORY
Fossils found in East Africa suggest that protohumans roamed the area more than 20 million years ago. Recent finds near Kenya's Lake Turkana indicate that hominids lived in the area 2.6 million years ago.

Cushitic-speaking people from what is now Sudan and Ethiopia moved into the area that is now Kenya beginning around 2000 BC. Arab traders began frequenting the Kenya coast around the first century AD. Kenya's proximity to the Arabian Peninsula invited colonization, and Arab and Persian settlements sprouted along the coast by the eighth century. During the first millennium AD, Nilotic and Bantu peoples moved into the region, and the latter now comprise two thirds of Kenya's population. Swahili, a Bantu language with significant Arabic vocabulary, developed as a trade language for the region.

Arab dominance on the coast was interrupted for about 150 years following the arrival of the Portuguese in 1498. British exploration of East Africa in the mid-1800s eventually led to the establishment of Britain's East African Protectorate in 1895. The Protectorate promoted settlement of the fertile central highlands by Europeans, dispossessing the Kikuyu and others of their land. Some fertile and well watered parts of the Rift Valley inhabited by the Maasai and the western highlands inhabited by the Kalenjin were also handed over to European settlers. For other Kenyan communities, the British presence was slight, especially in the arid northern half of the country. The settlers were allowed a voice in government even before Kenya was officially made a British colony in 1920, but Africans were prohibited from direct political participation until 1944 when a few appointed (but not elected) African representatives were permitted to sit in the legislature.

From 1952 to 1959, Kenya was under a state of emergency arising from the "Mau Mau" insurgency against British colonial rule in general and its land policies in particular. This rebellion took place almost exclusively in the highlands of central Kenya among the Kikuyu people. Tens of thousands of Kikuyu died in the fighting or in the detention camps and restricted villages. British losses were about 650. During this period, African participation in the political process increased rapidly.

The first direct elections for Africans to the Legislative Council took place in 1957. Kenya became independent on December 12, 1963, and the next year joined the Commonwealth. Jomo Kenyatta, an ethnic Kikuyu and head of the Kenya African National Union (KANU), became Kenya's first President. The minority party, Kenya African Democratic Union (KADU), representing a coalition of small ethnic groups that had feared dominance by larger ones, dissolved itself in 1964 and joined KANU.

A small but significant leftist opposition party, the Kenya People's Union (KPU), was formed in 1966, led by Jaramogi Oginga Odinga, a former Vice President and Luo elder. The KPU was banned shortly thereafter, however, and its leader detained. KANU became Kenya's sole political party. At Kenyatta's death in August 1978, Vice President Daniel arap Moi, a Kalenjin from Rift Valley province, became interim President. By October of that year, Moi became President formally after he was elected head of KANU and designated its sole nominee for the presidential election.

In June 1982, the National Assembly amended the constitution, making Kenya officially a one-party state. Two months later, young military officers in league with some opposition elements attempted to overthrow the government in a violent but ultimately unsuccessful coup. In response to street protests and donor pressure, parliament repealed the one-party section of the constitution in December 1991. In 1992, independent Kenya's first multiparty elections were held. Divisions in the opposition contributed to Moi's retention of the presidency in 1992 and again in the 1997 election. Following the 1997 election Kenya experienced its first coalition government as KANU was forced to cobble together a majority by bringing into government a few minor parties.

In October 2002, a coalition of opposition parties formed the National Rainbow Coalition (NARC). In December 2002, the NARC candidate, Mwai Kibaki, was elected the country's third President. President Kibaki received 62% of the vote, and NARC also won 59% of the parliamentary seats Kibaki, a Kikuyu from Central province, had served as a member of parliament since Kenya's independence in 1963. He served in senior posts in both the Kenyatta and Moi governments, including Vice President and Finance Minister. In 2003, internal conflicts disrupted the NARC government. In 2005 these conflicts came into the open when the government put its draft constitution to a public referendum--key government ministers organized the opposition to the draft constitution, which was defeated soundly. In 2007, two principal leaders of the movement to defeat the draft constitution, Raila Odinga and Kalonzo Musyoka--both former Kibaki allies--were presidential candidates for the Orange Democratic Movement (ODM) party and the Orange Democratic Movement-Kenya (ODM-K) party, respectively. In September 2007, President Kibaki and his allies formed the coalition Party of National Unity (PNU). KANU joined the PNU coalition, although it was serving in parliament as the official opposition party.

On December 27, 2007, Kenya held presidential, parliamentary, and local government elections. While the parliamentary and local government elections were largely credible, the presidential election was seriously flawed, with irregularities in the vote tabulation process as well as turnout in excess of 100% in some constituencies. On December 30, the chairman of the Electoral Commission of Kenya declared incumbent Mwai Kibaki as the winner of the presidential election. Violence erupted in different parts of Kenya as supporters of opposition candidate Raila Odinga and supporters of Kibaki clashed with police and each other. The post-election crisis left about 1,500 Kenyans dead, and about 500,000 people were displaced. In order to resolve the crisis, negotiation teams representing PNU and ODM began talks under the auspices of former UN Secretary General Kofi Annan and the Panel of Eminent African Persons (Benjamin Mkapa of Tanzania and Graca Machel of Mozambique). On February 28, 2008, President Kibaki and Raila Odinga signed a power-sharing agreement, which provided for the establishment of a prime minister position (to be filled by Odinga) and two deputy prime minister positions, as well as the division of an expanded list of cabinet posts according to the parties' proportional representation in parliament. On March 18, 2008, the Kenyan parliament amended the constitution and adopted legislation to give legal force to the agreement. On April 17, 2008 the new coalition cabinet and Prime Minister Odinga were sworn in. The Kofi Annan-led political settlement also set out a reform agenda to address underlying causes of the post-election violence. The focus is on constitutional, electoral, land, and institutional reform as well as increased accountability for politically motivated violence and corruption. Negotiation on many key elements of reform is ongoing.

GOVERNMENT
The unicameral National Assembly consists of 210 members elected to a term of 5 years from single-member constituencies, plus 12 members nominated by political parties on a proportional representation basis. The president appoints the vice president; under the power-sharing agreement, the president with the agreement of the prime minister makes the initial appointment of cabinet members from among those elected to the assembly. Subsequent cabinet appointments are made by the president in consultation with the prime minister, in accord with the power-sharing agreement's proportional division of cabinet positions. The attorney general and the speaker are ex-officio members of the National Assembly.

The judiciary is headed by a High Court, consisting of a Chief Justice and High Court judges and judges of Kenya's Court of Appeal, all appointed by the president.

Local administration is divided among 140 rural districts, each headed by a commissioner appointed by the president. The President has announced additional districts, but these are not yet legally constituted. The districts are joined to form seven rural provinces. Nairobi has special provincial status. The Ministry of State in charge of Provincial Administration and Internal Security supervises the administration of districts and provinces.

Principal Government Officials
President--Mwai Kibaki
Vice President--Kalonzo Musyoka
Prime Minister--Raila Odinga
Minister of Foreign Affairs--Moses Wetangula
Ambassador to the United States--Peter Ogego
Ambassador to the United Nations--Zachary Muita-Muburi
Consulate General Los Angeles--Wenwa Akinyi Odinga Oranga

Kenya maintains an embassy in the United States at 2249 R Street NW, Washington, DC 20008 (tel. 202-387-6101, website: http://www.kenyaembassy.com) and consulates in Los Angeles and New York.

POLITICAL CONDITIONS
Until post-election political unrest struck in early 2008, Kenya had, since independence, maintained considerable stability despite changes in its political system and crises in neighboring countries. This had been particularly true since the re-emergence of multiparty democracy and the accompanying increase in freedom (including freedom of speech, the press, and assembly).

In December 2002, Kenyans held democratic and open elections, which were judged free and fair by international observers. The 2002 elections marked an important turning point in Kenya's democratic evolution as the presidency and the parliamentary majority passed from the party that had ruled Kenya since independence to a coalition of new political parties The government lost a referendum over its draft constitution in November 2005. This vote too was widely accepted as free, fair, and credible.

Under the first presidency of Mwai Kibaki, the NARC coalition promised to focus its efforts on generating economic growth, improving and expanding education, combating corruption, and rewriting the constitution. The first two goals were largely met, but progress toward the second two goals was limited. President Kibaki's cabinet from 2002-2005 consisted of members of parliament from allied parties and others recruited from opposition parties who joined the cabinet without the approval of their party leaderships.

In early 2006, revelations from investigative reports of two major government-linked corruption scandals rocked Kenya and led to resignations, including three ministers (one of whom was later re-appointed). In March 2006, another major scandal was uncovered involving money laundering and tax evasion in the Kenyan banking system. The government's March 2006 raid on the Standard Group media house conducted by masked Kenyan police was internationally condemned and was met with outrage by Kenya media and civil society. The government did not provide a sufficient explanation. No one has been held accountable.

The December 2007 elections were marred by serious irregularities, and set off a wave of violence throughout Kenya. Following the February 2008 signing of a power-sharing agreement between President Kibaki and the opposition, a new coalition cabinet was sworn in April 2008, headed by Prime Minister Odinga. The 42-member cabinet is the largest in Kenya's history and includes new ministries for cooperative development, Northern Kenya development, and Nairobi metropolitan development. Several ministries were also subdivided, creating a number of new cabinet positions.

Constitutional reform that addresses the structure of government to create a more effective system of checks and balances, and land rights issues is one of the key elements of the reform agenda agreed as part of the power-sharing agreement. A Committee of Experts (COE) has been appointed to produce a draft for public review, parliamentary approval, and submission to a national referendum. The draft was released on November 17, 2009 for a 30-day public comment period. After reviewing the comments, the Committee of Experts submitted a draft on January 8, 2010 to a Parliamentary Select Committee (PSC) for a 21-day review. It will then go back to the COE for revision and submission to the PSC for transmittal to the full parliament. The date of the referendum has not been set, but the government has indicated it hopes to hold it in mid-2010.

ECONOMY
After independence, Kenya promoted rapid economic growth through public investment, encouragement of smallholder agricultural production, and incentives for private (often foreign) industrial investment. Gross domestic product (GDP) grew at an annual average of 6.6% from 1963 to 1973. Agricultural production grew by 4.7% annually during the same period, stimulated by redistributing estates, diffusing new crop strains, and opening new areas to cultivation. After experiencing moderately high growth rates during the 1960s and 1970s, Kenya's economic performance during the 1980s and 1990s was far below its potential. The economy grew by an annual average of only 1.5% between 1997 and 2002, which was below the population growth estimated at 2.5% per annum, leading to a decline in per capita incomes. The decline in economic performance was largely due to inappropriate agricultural, land, and industrial policies compounded by poor international terms of trade. Increased government intrusion into the private sector and import substitution policies made manufacturing sector uncompetitive. The policy environment along with tight import controls, and foreign exchange controls made the domestic environment for investment unattractive for both foreign and domestic investors.

From 1991 to 1993, Kenya had its worst economic performance since independence. Growth in GDP stagnated, and agricultural production shrank at an annual rate of 3.9%. Inflation reached a record 100% in August 1993, and the government's budget deficit was over 10% of GDP. As a result of these combined problems, bilateral and multilateral donors suspended program aid to Kenya in 1991. In the mid-1990s, the government implemented economic reform measures to stabilize the economy and restore sustainable growth. In 1994, nearly all administrative controls on producer and retail prices, imports, foreign exchange, and grain marketing were removed. The Government of Kenya privatized a range of publicly owned companies, reduced the number of civil servants, and introduced conservative fiscal and monetary policies. By the mid-1990s, the government lifted price controls on petroleum products. In 1995, foreigners were allowed to invest in the Nairobi Stock Exchange (NSE). In July 1997, the Government of Kenya refused to meet commitments made earlier to the International Monetary Fund (IMF) on governance reforms. As a result, the IMF suspended lending for 3 years, and the World Bank also put a $90-million structural adjustment credit on hold.

The Government of Kenya took some positive steps on reform, including the establishment of the Kenyan Anti-Corruption Authority in 1999, and the adoption of measures to improve the transparency of government procurements and reduce the government payroll. In July 2000, the IMF signed a $150 million Poverty Reduction and Growth Facility (PRGF), and the World Bank followed suit shortly after with a $157 million Economic and Public Sector Reform credit. The Anti-Corruption Authority was declared unconstitutional in December 2000, and other parts of the reform effort faltered in 2001. The IMF and World Bank again suspended their programs.

Economic growth began to recover after 2002, registering 2.8% growth in 2003, 4.3% in 2004, 5.8% in 2005, 6.1% in 2006, and 7.0% in 2007. However, the violence that broke out after the December 27, 2007 general election paralyzed the economy in January and early February 2008 and closed the Northern Corridor in Rift Valley province, cutting off vital shipments of fuel and other goods to Uganda, Rwanda, Burundi, eastern Democratic Republic of the Congo and South Sudan. Tourists fled, and agricultural production in the breadbasket Rift Valley region was crippled. The manufacturing sector had to cut back operations by 70%, as unsafe roads prevented movement of workers, inputs, or products, and congestion at the Port of Mombasa slowed imports and exports. The signing of a reconciliation agreement on February 28, 2008 put the economy back on track, but the damage in the first quarter to agriculture, tourism, consumption, investment, and the financial, transport, and construction sectors shaved 2008 economic growth from the 8% forecast to below 3%. Governments in major source countries for tourists to Kenya have lifted their travel advisories, and the Kenyan Government and tourism industry will make strenuous efforts to bring tourists back, but revenues were a small fraction of the approximately $1 billion earned in 2007.

During President Kibaki's first term in office (2003-2007), the Government of Kenya began an ambitious economic reform program and resumed its cooperation with the World Bank and the IMF. The National Rainbow Coalition (NARC) government enacted the Anti-Corruption and Economic Crimes Act and Public Officers Ethics Act in May 2003 aimed at fighting graft in public offices. There was some movement to reduce corruption in 2003, but the government did not sustain that momentum. Other reforms, especially in the judiciary, public procurement, etc., led to the unlocking of donor aid and a renewed hope of economic revival.

In November 2003, following the signing into law of key anti-corruption legislation and other reforms by the Kibaki government, donors reengaged as the IMF approved a 3-year $250 million Poverty Reduction and Growth Facility (PRGF) and donors committed $4.2 billion in support over 4 years. In December 2004, the IMF approved Kenya's Poverty Reduction and Growth Facility arrangement equivalent to U.S. $252.8 million to support the government's economic and governance reforms. The IMF program concluded without full implementation. In May 2009, the IMF Board approved a disbursement of approximately $200 million under its Exogenous Shock Facility (ESF), which is designed to provide policy support and financial assistance to low-income countries facing exogenous but temporary shocks. The ESF resources are meant to help Kenya recover from the negative impact of higher food and international fuel and fertilizer costs, and the slowdown in external demand associated with the global financial crisis.

The government's ability to stimulate economic demand through fiscal and monetary policy remains fairly limited, while the pace at which the government is pursuing reforms in other key areas remains slow. The Privatization Law was enacted in 2005, but only became operational as of January 1, 2008. Parastatals Kenya Electricity Generating Company (KenGen), Telkom Kenya, and Kenya Re-Insurance have been privatized. Kenya Railways is operating under a long-term management concession, and the government sold 25% of Safaricom (10 billion shares) in 2008, reducing its share to 35%. Accelerating growth to achieve Kenya's potential and reduce the poverty that afflicts about 46% of its population will require continued de-regulation of business, improved delivery of government services, addressing structural reforms, massive investment in new infrastructure (especially roads), reduction of chronic insecurity caused by crime, and improved economic governance generally. The government's Vision 2030 plan calls for these reforms, but implementation will be delayed by the reconstruction effort, coalition politics, and line ministries' limited capacity. In June 2008, the government introduced a revised but still ambitious Vision 2030 plan that seeks to address the economic challenges stemming from the political crisis while still striving to meet growth benchmarks.

Economic expansion is fairly broad-based and is built on a stable macro-environment fostered by government, and the resilience, resourcefulness, and improved confidence of the private sector. Despite the post-election crisis, Nairobi continues to be the primary communication and financial hub of East Africa. It enjoys the region's best transportation linkages, communications infrastructure, and trained personnel, although these advantages are less prominent than in past years. On January 31, 2007, the government signed a $2.7 million contract with Tyco Telecommunications to perform an undersea survey for the construction of a fiber optic cable to Fujairah in the United Arab Emirates (U.A.E.) called the East African Marine Systems (TEAMS). Separately, a private venture, SEACOM (75% African owned, 25% international) launched a fiber optic cable in July 2009. Once Internet service providers install the “last mile” of fiber, the economy is expected to benefit significantly from high-speed connections, reduced Internet access prices, and improved reliability. A wide range of foreign firms maintain regional branches or representative offices in the city.

In 2008, tea exports regained top place in exports with a total of $850 million, while fresh horticulture exports fell to $838 million (from a record high of U.S. $1.12 billion in 2007. Tourism earned Kenya $762 million in 2008, a decline of 19% from 2007. Africa is Kenya's largest export market, followed by the European Union (EU). Kenya benefits significantly from the African Growth and Opportunity Act (AGOA), but the apparel industry is struggling to hold its ground against Asian competition. Currently there are 21 apparel factories and one yarn factory operating in the Export Processing Zones. Ninety-eight percent of AGOA exports are garments, and Kenya’s garment exports under AGOA fell from U.S. $265 million in 2006 to U.S. $245 million in 2008.

Kenya does not systematically collect foreign direct investment (FDI) statistics and its historical performance in attracting FDI has been relatively weak. The stock of FDI in 2005 was estimated to be about $1.04 billion, less than half of that in neighboring Tanzania. Net foreign direct investment (FDI) was negative from 2000-2003, but started trickling back in 2004 and showed a significant increase in 2007.

Remittances are Kenya’s single largest source of foreign exchange and a key social safety net. According to the Central Bank of Kenya, recorded remittances totaled $611 million in 2008; however, the actual number may be as high as $1 billion. Total remittances in 2009 declined slightly.

Kenya faces profound environmental challenges brought on by high population growth, deforestation, shifting climate patterns, and the overgrazing of cattle in marginal areas in the north and west of the country. Significant portions of the population will continue to require emergency food assistance in the coming years.

Kenya is pursuing regional economic integration, which will enhance long-term growth prospects. In March 1996, the Presidents of Kenya, Tanzania, and Uganda re-established the East African Community (EAC). The EAC's objectives include harmonizing tariffs and customs regimes, free movement of people, and improving regional infrastructures. In March 2004, the three East African countries signed a Customs Union Agreement paving the way for a common market. The Customs Union and a Common External Tariff were established on January 1, 2005, but the EAC countries are still working out exceptions to the tariff. Rwanda and Burundi joined the community in July 2007. In May 2007, during a Common Market for Eastern and Southern Africa (COMESA) summit, 13 heads of state endorsed a move to adopt a COMESA customs union and set December 8, 2008 as the target date for its adoption. In October 2008, the heads of state of EAC, COMESA, and the Southern African Development Community (SADC) agreed to work toward a free trade area among all three economic groups with the eventual goal of establishing a customs union. If realized, the Tripartite Free Trade area would cover 26 countries.

Media

The key independent print media in Kenya are the Nation Media Group, the Standard Group, People Limited, and the Times Media Group. The Nation Media Group publications, which include the Daily Nation, the Sunday Nation, the Business Daily, the weekly East African, and the only Swahili publications, Taifa Leo and Taifa Jumapili, have the largest circulations. The Standard and the Sunday Standard, published by the Standard Group, are also popular newspapers, although with smaller circulations. Approximately 120 foreign correspondents representing 100 media organizations report from Nairobi. There is no government-owned or controlled newspaper.

Major independent radio and television media are the Kenya Television Network (KTN), the broadcast media arm of the Standard Group; Nation Radio/TV, owned by the Nation Media Group; and Citizen Radio/Television, owned by Royal Media Services. The government owns and controls the Kenya Broadcasting Corporation (KBC) and its subsidiaries. KBC is the only national radio and television network.

Kenya also has hundreds of FM radio stations, some broadcasting in Swahili or in local languages. Radio has a wide reach in Kenya, especially in rural areas. Some major international broadcasters, including British Broadcasting Corporation (BBC), Voice of America (VOA), and Radio France Internationale (RFI), rebroadcast their programming in Kenya.

FOREIGN RELATIONS
Despite internal tensions in Sudan and Ethiopia, Kenya has maintained good relations with its northern neighbors. Recent relations with Uganda and Tanzania are strengthening as the three countries work for mutual economic benefit.

Kenya has hosted and played an active role in the negotiations to resolve the civil war in Sudan and to reinstate a central government authority in Somalia. On January 9, 2005 a Sudan North-South Comprehensive Peace Accord was signed in Nairobi. Negotiations in the Somali National Reconciliation Conference resulted at the end of 2004 in the establishing of Somali Transitional Federal Institutions (Assembly, President, Prime Minister, and Government). Until early 2005, Kenya served as a major host for these institutions. Between May and June 2005, members of the Somalia Transitional Federal Institutions relocated to Somalia. Kenya is host to more than 300,000 refugees, of which about 290,000 are from Somalia and the remainder primarily from Sudan and Ethiopia.

Kenya maintains a moderate profile in Third World politics. Kenya's relations with Western countries are generally friendly, although current political and economic instabilities are sometimes blamed on Western pressures.

U.S.-KENYAN RELATIONS
The United States and Kenya have enjoyed cordial relations since Kenya's independence. Relations became even closer after Kenya's democratic transition of 2002 and subsequent improvements in civil liberties.

More than 9,000 U.S. citizens are registered with the U.S Embassy as residents of Kenya. In 2007 about 116,800 Americans visited Kenya, up 18% from 2006, but the number dipped to 89,400 in 2008. About two-thirds of resident Americans are missionaries and their families. U.S. business investment is estimated to be more than $285 million, primarily in commerce, light manufacturing, and the tourism industry.

Al Qaeda terrorists bombed the U.S. Embassy in Nairobi on August 7, 1998, taking hundreds of lives and maiming thousands more. Since that event, the Kenyan and U.S. Governments have intensified cooperation to address all forms of insecurity in Kenya, including terrorism. The United States provides equipment and training to Kenyan security forces, both civilian and military. In its dialog with the Kenyan Government, the United States urges effective action against corruption and insecurity as the two greatest impediments to Kenya achieving sustained, rapid economic growth.

U.S. assistance to Kenya is substantial. It promotes broad-based economic development as the basis for continued progress in political, social, and related areas of national life. The U.S. assistance strategy is built around five broad objectives: Fighting disease and improving healthcare; fighting poverty and promoting private sector-led prosperity; advancing shared democratic values, human rights, and good governance; cooperating to fight insecurity and terrorism; and collaborating to foster peace and stability in East Africa. The Peace Corps, which usually has about 150 volunteers in Kenya, is integral to the overall U.S. assistance strategy in Kenya. Peace Corps volunteers were withdrawn from Kenya due to instability and civil unrest in early 2008, but the program resumed Kenya operations within a few months.

Principal U.S. Officials
Ambassador--Michael E. Ranneberger
Deputy Chief of Mission--Michael Hoza, Acting
USAID Mission Director--Erna Kerst
Public Affairs Officer--John Haynes

The U.S. Embassy in Kenya is located on UN Avenue, Nairobi, P.O. Box 606, Village Market, Nairobi (tel. 254-20-363-6000; fax 254-20-363-6157).

TRAVEL AND BUSINESS INFORMATION
The U.S. Department of State's Consular Information Program advises Americans traveling and residing abroad through Country Specific Information, Travel Alerts, and Travel Warnings. Country Specific Information exists for all countries and includes information on entry and exit requirements, currency regulations, health conditions, safety and security, crime, political disturbances, and the addresses of the U.S. embassies and consulates abroad. Travel Alerts are issued to disseminate information quickly about terrorist threats and other relatively short-term conditions overseas that pose significant risks to the security of American travelers. Travel Warnings are issued when the State Department recommends that Americans avoid travel to a certain country because the situation is dangerous or unstable. For the latest security information, Americans living and traveling abroad should regularly monitor the Department's Bureau of Consular Affairs Internet web site at http://www.travel.state.gov, where the current Worldwide Caution, Travel Alerts, and Travel Warnings can be found. Consular Affairs Publications, which contain information on obtaining passports and planning a safe trip abroad, are also available at http://www.travel.state.gov. For additional information on international travel, see http://www.usa.gov/Citizen/Topics/Travel/International.shtml. The Department of State encourages all U.S. citizens traveling or residing abroad to register via the State Department's travel registration website or at the nearest U.S. embassy or consulate abroad. Registration will make your presence and whereabouts known in case it is necessary to contact you in an emergency and will enable you to receive up-to-date information on security conditions. Emergency information concerning Americans traveling abroad may be obtained by calling 1-888-407-4747 toll free in the U.S. and Canada or the regular toll line 1-202-501-4444 for callers outside the U.S. and Canada. The National Passport Information Center (NPIC) is the U.S. Department of State's single, centralized public contact center for U.S. passport information. Telephone: 1-877-4-USA-PPT (1-877-487-2778); TDD/TTY: 1-888-874-7793. Passport information is available 24 hours, 7 days a week. You may speak with a representative Monday-Friday, 8 a.m. to 10 p.m., Eastern Time, excluding federal holidays. Travelers can check the latest health information with the U.S. Centers for Disease Control and Prevention in Atlanta, Georgia. A hotline at 800-CDC-INFO (800-232-4636) and a web site at http://wwwn.cdc.gov/travel/default.aspx give the most recent health advisories, immunization recommendations or requirements, and advice on food and drinking water safety for regions and countries. The CDC publication "Health Information for International Travel" can be found at http://wwwn.cdc.gov/travel/contentYellowBook.aspx. Further Electronic Information
Department of State Web Site Available on the Internet at http://www.state.gov, the Department of State web site provides timely, global access to official U.S. foreign policy information, including Background Notes and daily press briefings along with the directory of key officers of Foreign Service posts and more. The Overseas Security Advisory Council (OSAC) provides security information and regional news that impact U.S. companies working abroad through its website http://www.osac.gov Export.gov provides a portal to all export-related assistance and market information offered by the federal government and provides trade leads, free export counseling, help with the export process, and more. STAT-USA/Internet, a service of the U.S. Department of Commerce, provides authoritative economic, business, and international trade information from the Federal government. The site includes current and historical trade-related releases, international market research, trade opportunities, and country analysis and provides access to the National Trade Data Bank.

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