Lead image for Care infrastructure can drive Kenya’s economic growth.
For years, investment in physical infrastructure has rightly been seen as a catalyst for growth. Yet another form has received less attention: care infrastructure.
Facilities and services supporting childcare, eldercare, disability care and other forms of caregiving are increasingly recognised as essential to an inclusive economy.
Analysis by the Kenya Institute for Public Policy Research and Analysis (KIPPRA) shows that investing in care infrastructure is not merely social policy but an economic investment. It can accelerate growth, strengthen household welfare, improve labour productivity and expand opportunities for women and men.
Closing Kenya’s care infrastructure gap would require about Sh786.8 billion over 15 years. The investment could generate Sh3.1 trillion in benefits, yielding net benefits of Sh2.3 trillion. Every Sh1 invested could generate Sh3.9 in benefits and Sh2.9 in net benefits. Care infrastructure should therefore be treated as productive investment, not simply social expenditure.
Labour-market outcomes
The investment would be phased over 15 years, averaging Sh52.5 billion annually. Benefits would rise as investments mature. Average annual net benefits could reach about Sh154 billion.
Care infrastructure can improve labour-market outcomes. Better childcare centres, early childhood facilities, eldercare services and disability support can enable more people to participate in productive activities. Investment would also create jobs in care and through increased demand in related sectors.
Women and men would benefit differently. Women would gain more from employment linked directly to care, while men would benefit more from spillovers into non-care sectors. Women could receive Sh124.8 billion in labour-income benefits, compared with Sh107.4 billion for men.