Download THE IMPACT OF KENYA

THE IMPACT OF KENYA-CHINA ECONOMIC PARTNERSHIP ON
KENYA’S FOREIGN RELATIONS (2003-2012)
GAKUYA RUTH MWIHAKI
R50/70835/2007
SUPERVISOR: PROF.AMB.MARIA NZOMO
A RESEARCH PROJECT SUBMITTED IN PARTIAL FULFILMENT OF THE
REQUIREMENTS OF THE DEGREE OF MASTER OF ARTS IN
INTERNATIONAL STUDIES.
OCTOBER 2013
ABSTRACT
China has shown increased interest in the African continent particularly since the end of
the cold war. The key driver of China’s interest in the continent is the search for raw materials to
meet growing demand at home, as a market for her products, as well as a source of energy
security .In Kenya, Chinese presence has increased significantly since a new government came
into power in 2002 led by the now retired President MwaiKibaki. Large scale infrastructural
development projects have been undertaken and completed. Regardless of this, Kenya continues
to co-operate with, and to rely on her traditional donors for funding and trade. This research
attempts to assess this growing significance of China as a donor, financier and trade partner in
Kenya’s economic development on Kenya’s foreign relations, and in particular with traditional
donors, that is, the United States(US),United Kingdom(UK),Germany, and Japan.
The foreign policy of a country is given as “combination of aims and interests pursued
and defended by a given state and its ruling class in its relations with other states, and the
methods and means used by it for the achievement and defusing of these purposes and interests”.
The study establishes that Kenya’s foreign policy has changed through the three transitions the
country has been through, that is under presidents Kenyatta, Moi, and Kibaki, and that the
foreign policy focus under each president has determined the key areas that the country has
focused in for development. In President Kibaki’s reign, the economic pillar of Kenya’s foreign
policy has been central to Kenya’s foreign relations,with focus being on diversifying sources of
development funding to include new economic partners, notably the adoption of the “Look East”
policy in foreign relations. This has led to China increasing in significance as a development
partner, and a source of funding for large scale infrastructural development projects in Kenya.
The coming in of a new government after the March 4th 2013 general elections further points to a
reinvigorated interest to strengthen continued ties with the east, particularly China, with
economic diplomacy being the key focus of Kenya’s foreign relations.
An analysis of trade and aid figures between Kenya, China, United Kingdom, United
States, Britain and Japan concludes thatChina has gained significance as a trade partner for
Kenya as evidenced by the fact that China is now the largest source of imports in Kenya. By
contrast, the United Kingdom is the largest export market for Kenya, followed by the United
States while Kenya’s shares of exports to China are the least. An analysis of aid figures presents
the United Statesas the largest bilateral donor to Kenya, and although China’s aid has been on
the increase, and significantly so in infrastructural and communications sectors, Kenya still is
heavily reliant on her bilateral donors for funding. China’s funding is notably in the
infrastructural development and telecommunications sector. The study concludes that the
growing relationship between Kenya and China has therefore not affected the significance of the
United States, United Kingdom, Japan and Germany, both as sources of funding and as trade
partners for Kenya.