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Nonetheless, with only 10 telephone lines per 1000 people overall, and 77
per 1000 in the capital, Nairobi, Kenya's Gross Domestic Product (GDP) grew
by only 1.5% in 2002 (World Bank: 2002). As maintained by the report, as
long as limited telephone access continues, the gulf that divides developing
nations such as Kenya from the developed world will continue to expand. In
support of this view, Mutai, the African telecommunications union secretary­
general underscores the fact that "there is no clearer way to eliminate the
economic inequalities between humanity, than by facilitating communication
and information flows" (Moore-King, 2000:41). By the same token, the lORe
(2005:2) contends that an acute lack of infrastructure in Kenya seriously
limits opportunities for using ICTs for economic and social development.
Mudhai (2004) argues that Kenya has been slow to reform the ICT sector
due to monopoly, corruption and under-investment. This has resulted in
200,000 to 300,000 fixed' telephone applicants on the waiting list for up to
six years. According to the author, this failure rate on 250,000 to 320,000
connected landlines is one of the highest in the world and has resulted in the
escalation of charges for mobile phones and the Internet. The author also
observes that the government is working towards establishing a master plan
for e-commerce, and e-government strategies to make public administration
more transparent, efficient and democratic. The author observes that the
Government of Kenya (GoK) plans to spend US$ 5.85 billion (Sh444.2
billion) by 2015 on:
o 1,4 million fixed telephone lines in the rural areas. This is translated to
mean an average of 5 lines per 100 people, up from 1.6 per 100.
o 2,4 million fixed telephone lines in urban areas. This translates to
mean an average of 20 lines by 100, up from 4 per 100.
In a recent move to liberalize and increase competition in the industry, the
GoK plans to sell 60% of its shares in Telecom after restructuring the
company (Omondi: 2006:1-3).
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