Thesis:

Determinants of the implementation of the public procurement preference and reservation scheme in Tana-River county

Public procurement is estimated to account for a huge percentage of government expenditure. For instance, it is estimated to account for 12% of the GDP of OECD countries. This huge expenditure presents opportunity for governments to use public procurement to promote local industry and disadvantaged groups in an economy; through the application of preference and reservation schemes in public procurement. In Kenya, reports indicate that whilst public procuring have not achieved to implement the preference and reservation scheme of 30% for enterprises owned by youth, women and persons living with disability (PWDs). This study therefore seeks to examine the determinants: Access to Funding; Technical Capacity; Access to Procurement information; and Ethical Issues; of the implementation of the preference and reservation scheme in Kenya. The study examined the variables from the lenses of the: Empowerment theory, legitimacy theory, and the AHP model; and reviewed relevant empirical literature that established that little empirical examination has been done in marginalized counties of Kenya as pertains the preference and reservation scheme implementation. Adopting a descriptive research design, the study implemented a census survey approach that collected data from 28 procuring entities in the County of Tana River. The study established that Access to funding does not have significant and substantial effect on implementation of the preference and reservation scheme, while technical capacity, access to procurement information, and ethical issues have significant and substantial effect on implementation of the preference and reservation scheme in the County of Tana River. The study recommends setting aside more lucrative tenders for the special interest groups to stimulate interest in the preference and reservation scheme. The study further recommends adoption of strategies to enable publicizing procurement information on social media; enhanced capacity building of interest groups in procurement, and additional levels of verification of eligibility for the government procurement opportunities. These would enhance the Implementation of the Preference and Reservation Scheme.