by Mary Ndanu
Principal Secretary for Labour and Skills Development, Shadrack Mwadime, has urged Kenya to leverage its youthful population and the benefits of labour migration to strengthen the economy through innovative strategies that safeguard remittances and transform returning workers into investors.
Speaking during a stakeholders’ forum on labour and migration, the PS said migration is a normal and everyday reality which, when well-managed, can generate significant development gains.
Mwadime cited remittances from Kenyans working abroad, which reached USD 5 billion (approximately KSh 600 billion) last year, as proof of migration’s growing contribution to the national economy.
> “Remittances alone account for nearly five per cent of our national budget. If properly safeguarded and utilized, even a small increase in remitted savings — say from five to ten per cent — could translate to over KSh 1.2 trillion, nearly a quarter of Kenya’s annual budget,” he said.
However, the PS noted that mistrust remains a major barrier to realizing the full benefits of remittances, as many Kenyans abroad hesitate to send more money home due to fears of mismanagement or misuse by relatives and intermediaries.
> “Young women working in Saudi Arabia or men in the Gulf remit money only to find it misappropriated. This undermines confidence and discourages savings,” he said.
Mwadime called for the establishment of safe and transparent remittance channels to guarantee proper use of the funds, adding that such measures would empower Kenyans working abroad to return home as investors rather than dependents.
> “Our investors should not always be foreigners. It can be your own brother or sister returning with capital and skills to create jobs,” he emphasized.
The PS further highlighted Kenya’s demographic advantage, saying the country’s youthful population presents both a resource base and a ready domestic market compared to ageing societies in Western Europe. He urged policymakers to bridge the gaps in technology and capital to unlock this potential.
> “The challenge is not a lack of resources. Africa has immense potential. The gaps lie in know-how and financing. That is why we must expose our young people to advanced technology and training abroad, so that they bring back knowledge and skills,” Mwadime said.
Drawing lessons from China’s development model, he noted that the Asian nation deliberately sent its youth to leading universities abroad, later using their expertise to power domestic growth.
> “Kenya can adopt a similar model to send out young people for skills acquisition, then reintegrate them as drivers of our industrial and economic growth,” he suggested.
Mwadime also cautioned against overreliance on foreign capital, questioning whether Western investments have always yielded sustainable benefits for Africa. He encouraged a shift towards self-reliance by empowering Kenyans in the diaspora to be the next generation of investors and innovators.
> “Ultimately, our strength lies in our people. Migration, when managed with foresight, is not a brain drain but a brain gain. Our youthful population, equipped with the right skills, can transform Kenya into a hub of growth,” he concluded.
