Total changes 1990-2008
Inclusive Wealth Index
Gross Domestic Product
Changes over 20 Years
While Kenya presented a positive IWI growth rate, it was on the margin and has a high probability of moving to a negative IWI which customarily indicates an unsustainable trajectory. Growth in produced and human capital has barely been able to offset the decline in natural capital. In addition, rapid population growth has resulted in a lower rate of return of its capital asset base per person.
Human capital makes up the large majority of Kenya’s inclusive wealth, followed by natural and produced capital.
While agricultural land expanded over the past 19 years, it was insufficient to account for the population increase Kenya had also witnessed over that same period. This calls for larger investment in an expansion of agricultural land and forests, which declined in Kenya over the same time period. Policies focusing on the management of population growth should be considered in conjunction with increased investment in agricultural land and forests to ensure sustainable growth.