Localizing Resilience: Fiscal Decentralization and Implication on Disaster Risk Reduction Outcomes in Kenya

Abstract

Fiscal decentralization has been widely advocated as a policy reform aimed at improving public service delivery, including Disaster Risk Reduction(DRR) outcomes, by shifting fiscal decision-making powers to subnational governments. However, there is a paucity of empirical studies that provide conclusive evidence on its implications on disaster risk reduction. This dissertation empirically examines the impact of fiscal decentralization on DRR outcomes in Kenya through a mixed-methods approach, combining survey data and semi-structured interviews with officials from county and national governments, NGOs, and international organizations across five selected counties in Kenya. Specifically, this dissertation explores how revenue and expenditure assignments, citizen engagement, and intergovernmental coordination influence DRR outcomes. Additionally, it assesses the moderating role of information transparency and investigates whether urbanization acts as a facilitating or constraining factor. The regression results reveal a positive and statistically significant relationship between revenue and expenditure assignments, citizen engagement, and intergovernmental coordination with disaster risk reduction outcomes, and they are consistent with findings from previous country-specific studies. These findings have important theoretical and policy implications and provide insights into how fiscal decentralization can enhance disaster risk reduction efforts in Kenya’s fiscally decentralized governance system.