Kenya’s path towards universal digital access faces a hurdle as the Communication Authority of Kenya’s (CA) Universal Service Fund (USF) Strategy 2023–2027 grapples with a Ksh. 12 billion funding shortfall.
Universal Service and Access Funds (USAFs) are tools used globally to enhance telecommunications access by financing infrastructure deployment, such as towers and cables, to connect underserved regions.
“When you see a figure there, it doesn’t mean the money is available. Whatever you have seen is a dream, a wish list,” candidly stated Eng. Leo Boruett, Director of the USF, underscoring the challenge ahead.
The USF Strategy requires a total investment of Ksh. 40.037 billion over the next five years. This sum is earmarked for expanding ICT infrastructure, fostering essential digital skills, and building institutional capacity nationwide. While the CA can raise Ksh. 28 billion, the remaining Ksh. 12 billion deficit directly impacts critical initiatives. These include the rollout of ICT infrastructure in unserved and underserved areas, and programs targeting digital literacy and local content development for vulnerable groups like women, youth, the elderly, and persons with disabilities (PwDs).
The underlying principle of the USF, established by the Kenya Information and Communications Act of 1998 and administered by the CA, is to make ICT services accessible and affordable for all Kenyans, particularly in marginalized regions.
Previous efforts have shown remarkable success. The 2021 ICT Access Gap Study revealed that 96.3% of Kenya’s population had broadband access, leaving a 3.7% gap. Between 2015 and 2021, the USF funded voice and data infrastructure in 76 sub-locations across 15 counties, connecting over 500,000 people and significantly reducing the digital divide.
“When you think of the impact of the USF, imagine Kora sub-location in Kajiado County, where small townships are mushrooming because of mobile connectivity in the area,” noted **Mr. David Mugonyi, Director General, CA**, illustrating the tangible benefits. The USF also provided broadband to over 800 schools, ensuring reliable data access.
The new USF Strategy for 2023–2027 focuses on three key priorities:
1. Expanding Infrastructure and Services: Aiming to close the remaining digital access gaps with an emphasis on quality and sustainability.
2. Fostering Digital Skills and Local Content: Maximizing the positive impact of ICTs through targeted capacity-building and content development.
3. Building Institutional Capacity: Strengthening USF’s administration and management for effective project delivery.
These priorities are aligned with Kenya’s national development frameworks, including the Constitution, the Kenya Information and Communications Act, the Bottom-up Economic Transformation Agenda (BETA), and the Kenya National Digital Masterplan 2022–2032.
To bridge the Ksh. 12 billion funding gap, the CA is actively pursuing diverse resource mobilization strategies. These include engaging development partners and donors for grants, exploring sector-specific joint project financing, and utilizing reinvested funds from licensees as seed capital.
“The achievements we have made so far and the challenging endeavors ahead of us under this Strategy were and will remain only possible through close collaboration and partnership with all the stakeholders and partners,” emphasized David Mugonyi. “It would, therefore, be imperative to continue pursuing a collaborative approach towards the realization of the collective vision of leveraging ICTs for socio-economic growth and the digital economy.”