This paper analyses the impact of structural adjustment programmes on poverty and
economic growth in Kenya. The results indicate that there was a decrease in poverty
between 1992 and 1994 as shown by all poverty measures, while results from other
studies show that poverty increased between 1994 and 1997. There was a remarkable
improvement in macroeconomic policies between 1992 and 1994, while poverty declined,
but a slight deterioration in macroeconomic policy between 1994 and 1997, which led to
an increase in poverty. The study recommends that the institutional bottlenecks hindering
economic reform should be addressed. Poverty alleviation policies should be pursued
hand in hand with reforms so as to ensure equitable distribution of the long-term benefits
of growth that may spring from economic reform, as well as special targeting of the poor
who are found in the non-market sector and are therefore unlikely to benefit much from
economic reform policies