Terms of Reference for Consultancy Services on Status of Inequality in Kenya

About Oxfam Kenya

Oxfam GB is a member of an international confederation of 21 organisations working together with partners and local communities in the areas of humanitarian, development and campaigning in more than 90 countries seeking to find lasting solutions to poverty and injustice around the world. Oxfam is determined to change that world by mobilizing the power of people against poverty. Around the world, Oxfam works to find practical, innovative ways for people to lift themselves out of poverty and thrive. We save lives and help rebuild livelihoods when crisis strikes. And we campaign so that the voices of the poor influence the local and global decisions that affect them. In all we do, Oxfam works with partners, public and private sector institutions alongside vulnerable women and men to end the injustices that cause poverty.

Oxfam in Kenya envisages a transformed Kenyan society in which each individual, regardless of gender, religion, ethnicity, or social standing, is able to access basic services, and fully participates in decision-making processes on issues that affect their lives and can be heard. In addition, Oxfam in Kenya believes that every Kenyan has a right to make free and informed choices to build sustainable livelihoods and resilience to external shocks. Since 1963, Oxfam in Kenya has worked with partners in long-term development programs, humanitarian assistance, peace and conflict resolution programs and actively engaged in campaigning for better governance and equitable access to services. Read more about Oxfam from https://kenya.oxfam.org/

The Governance and Accountability Pillar at Oxfam in Kenya supports a movement of citizenship in Kenya that is informed and active on tax mobilization, budget allocation and spending. We are also bold and brave in challenging taxation policies and practices and grounding our influencing work on research, power, and gender analyses. We work on linking community, county, national and global level interventions, particularly on tax justice and inequality.

About the Project: Global Inequality Influencing Programme

Just Economies is one of four key pillars in Oxfam’s Global Strategic Framework 2020-2030 with Ending Inequality and Reducing Poverty being at the very core of Oxfam’s work. Oxfam in Kenya is currently implementing a pilot Global Inequality Influencing Programme titled From Austerity to Prosperity: Public Services for All from September 2024 – December 2025**.** The programme is advocating for Improved access to Public Services as a key Foundation for Reducing Inequality and Enabling Economic Empowerment in Kenya. The programme will provide an opportunity to clearly demonstrate and articulate the linkages between the overlapping concepts of debt, influence of global financial structures on Kenya’s fiscal policies, taxation, austerity, and deteriorating public services that deny individuals the ability to improve their lives or to attain social mobility. Currently, there is a lack of national discourse on inequality and progressive policies. The aim of the project is to make Reducing Inequality the focus of Government policy interventions.

1. Background

Whilst poverty in Kenya has reduced, the rate of reduction has been much slower than the headline rate of economic growth. Oxfam’s 2017 Briefing Paper on Taxing for a More Equal Kenya showed that the wealthiest 0.1% of Kenyans hold more wealth than everyone else. High and rising inequality represents a major challenge to Kenya’s development. Inequality is fuelled by unequal tax policies, crippling debts, privatized health and education denying impoverished people the opportunity to improve their quality of life, unfair treatment of workers and unequal climate impacts. Climate change, including recent flooding, drought, and other erratic weather patterns, are hitting the poor and the most vulnerable the hardest, destroying lives and livelihoods. Women and girls and the most vulnerable such as the elderly are bearing a disproportionate burden of the effects of climate change. Gender inequality combines with economic inequality to create a cycle of poverty and exclusion.

2. Justification for the Study

The main objective for the development of the Kenyan Inequality study is to facilitate evidence-based advocacy for the implementation of polices that address inequality. It will give a contextual snapshot on the scale and impact of extreme inequality in Kenya as well as provide policy options to addressing the problem. Understanding the root causes and implications of this inequality is crucial for informed policymaking and effective interventions in informing socioeconomic planning and budgeting, designing targeted and inclusive policies and identifying priority areas for government interventions.

Ultimately, this study provides an opportunity to generate actionable insights that can inform targeted policies and programs aimed at reducing inequality and promoting inclusive development in Kenya. The study will propose policy actions to reduce inequality and outline the progressive policies needed to achieve this.

3. Structure and Approach of the Status in Inequality in Kenya Report

Research Title: Status of Inequality in Kenya Towards a More Equal Kenya

Executive Summary (2,000 words) –

Kenya’s inequality profile will essentially draw on the most recent Commitment to Reducing Inequality Index as well as the response of these governments to the Covid-19 pandemic as captured by IMF and World Bank databases. The CRI draws on budget data from countries across the world and is for the most part annually updated, allowing for the ranking to change each year, which is central to the advocacy value of the index. Below is the proposed content and structure of the paper:

Introduction – Status of Inequality in Kenya (2,000 words)

Scale of inequality amid polycrisis such as Covid-19, climate change, Ukraine-Russia War, escalating conflict and increase of natural disasters and how they have impacted inequality. The introduction will highlight how colonial social, macroeconomic, fiscal and land policies have contributed to inequality in Kenya. The consultant should be able to calculate and generate strong, credible national killer facts on inequality to be the headline facts for the report.

Fighting Inequality through Public Services (2,000 words)

• Public spending and services
• Education
• Healthcare
• Social protection
• WASH and Housing
• Impact of social spending on inequality

International and Public Finance Structures (2,000 words)

• Taxation
• Progressive tax system
• Tax collection
• Impact of taxes on inequality

Debt and Role of IFIs

• External and domestic debt and debt service, divided where possible by type of creditor (multilateral, bilateral, commercial), and debt service payments compared to anti-inequality spending
• Role of IFIs in terms of emergency anti-COVID lending and related conditions (especially their impact on inequality)

Fighting Inequality through Labour Rights (1,500 words)

• Women’s labour rights and the care economy
• Minimum wages
• Coverage of workers’ rights
• Impact on wage inequality

Implications of Climate Change on Food Security and Inequality (1,500 words)

• Linkages between food security, agriculture and climate
• Inequality in impacts of climate change (gender, regional etc)
• Inequality in access to climate finance

Policy recommendations (1,000 words) – by Theme

• On public services
• Taxation
• Debt and the role of IFIs
• Labour and care economy
• Food and Climate

1. Schedule, budget, logistics and deliverables.

The consultancy will be for a maximum of 50 days from the date of signing of the contract. The Schedule is as follows:

Activities

Timeline

Inception Report which should detail the following:

• The consultant’s clear understanding of the proposed assignment
• Methodology to be used for the assignment.
• Data types, collection plans and analytical approach
• Data collection tools
• Overall work plan for the assignment

Within 10 days after signing the contract

First draft

10 working days after submission of the Inception Report

1 multi-stakeholder consultative workshop

10 days after submission of the first draft

Revised Second Draft

5 days after the consultative workshop

Presentation for Internal Peer Review

5 days after submission of revised second draft

Final Draft

5 days after internal peer review

1 launch and dissemination workshop

5 days after submission of the final draft

1. Key Deliverables

The successful consultant(s) will be expected to deliver the following:

• An inception report outlining approach to the assignment, timeframe, deliverables, etc.
• Methodological Note
• 1 Research report
• 5 technical thematic sector/policy briefs on Inequality in Public Services and drivers of Inequality
• 5 IEC Materials for development of infographics on Inequality in Public Service
• Data set (not to be shared externally)
• A finalized poster pitch summarizing the findings.
• 1 stakeholder consultative workshop
• 1 launch/dissemination workshop

1. Consultancy team: qualifications and skills needed

At the minimum, the consultant(s) must possess the following:

1. At least a Masters in Economics, Public Policy, Business Administration or any other related discipline in social sciences.

2. Demonstrated academic qualifications or experience in economics, public policy, or any other related discipline in Social Science.

3. Experience in evidence-based Policy Research and Analysis, Development Research and Policy, Public Policy Analysis and Economic Policy Analysis.

4. Experience in working on Economics, Public Policy, Business Administration in both public and private sector.

5. Demonstrate a good understanding of the Kenyan context particularly economic and social context with practical working experience in the country.

6. Be conversant with current fiscal and economic laws, policies and practice in Kenya.

7. Practical application of cross cutting themes like gender mainstreaming, M&E, Advocacy.

8. Excellent analytical and report writing skills.

9. Experience of effective interaction with local and national institutions, both government and private sector as well as International Institutions on economic, fiscal and social policy.

10. Ability to engage and convene diverse stakeholders from private sector, government, policy makers, and non-governmental organisations.

    Study responsibilities and management arrangements

The consultant shall work under the direct supervision of the Global Inequality Influencing Programme Officer.

Dissemination strategy, plan and responsibilities for sharing and using the findings.

The research and analysis shall be used by Oxfam in Kenya, Oxfam partners, the Government of Kenya and the policymakers, the public, the media, the international financial institutions. The report will also be useful to the activists CSOs and grassroots organizations working on social justices, as well as researchers interested in understanding the dynamics of inequality in Kenya.

Process of the selection of the team and expectations for study proposal

Firms or Consultant(s) who meet the requirements should submit an expression of interest (Maximum 15 pages), which should include the following:

• A suitability statement (2 pages), including commitment to availability for the entire assignment.
• A technical proposal (max 5 pages – excluding CVs) detailing: consultants’ relevant experience, the methodology and their approach to the assignment, including what literature will be reviewed, and a draft outline of the report.
• A financial proposal outlining the exact number of days per deliverable and daily rate.
• A copy of the CV of the consultant/s (max 4 pages for each consultant) who will be assigned to conduct the work including two referees to whom similar services were provided.
• A sample of relevant products or publications or hyperlinks were available.
• The analysis will be used to influence the relevant policies, laws and frameworks on inequality, public service delivery, public finance management and budgeting practices in Kenya.