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Urban Economy and Market Development in Homa Bay County, Kenya Discussion Paper #9
The county government of Homa Bay sought specialized support for revenue enhancement and local economic development from UN-Habitat. UN-Habitat took on a role of a technical advisor and conducted a rapid financial assessment of the county in collaboration with local government officials of Homa Bay. The rapid financial was aimed at assessing the current fiscal situation of the local government and involved a SWOT analysis of the revenue system, while examining viable alternatives and providing recommendations on the courses of action to improve revenue generation. Key amongst the findings of the rapid financial assessment was the influence that infrastructures like markets and roads have on economic development and revenue collection. With the results from the rapid financial assessment, recommendations were made to pilot a market construction project. This is expected to have further implications on the economy as there is a strong positive correlation between improved infrastructure, effective provision of public goods and overall economic expansion as reflected by increased investments and industrialization and higher land values. As a result, the Homa Bay County government and UN-Habitat’s Urban Economy and Municipal Finance Branch are implementing the improvement and transformation of Nyakwere open air market. This involves the improvement of the sanitation, security, space and overall sustainability of Nyakwere market.