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IMF intervenes in Kenya teacher's strike

Daily Nation, 21 October 1998

Teachers in Kenya, who returned to work this week after a 15 day strike, have discovered that they were fighting a force bigger than their own government. It was revealed in the Financial Times (13/10/98) that the IMF made it known that they would not approve an urgently needed new loan facility if the government acceded to the teachers demands.

Teachers in Kenya currently receive an average basic salary of US $150 per month. The largest teachers union, KNUT, has argued consistently that for most teachers this is not enough to live on. Last July they successfully negotiated an agreement with the Kenyan government, which would result in a 200% increase over a five-year period. The recent strikes, which were supported by 70% of the population, were in response to the Kenyan government saying they could no longer fulfill that agreement and refused to carry through the phase II increase. But news of the IMF and international donor's stance, suggests pressure was put on the government giving them little room for manoeuvre.

Kenya is heavily indebted, and pays 25% of government revenue on debt service (FT 13/10), compared to 2.7% of GNP on health and 6.8% on education. Over half of the debt is owed to multilateral institutions, including the World Bank and IMF, and last year Kenya paid US $208 million in debt service to these institutions. A reduction in Kenya's debt burden would release funds that could be used for social spending including teacher's salaries. However the International Financial Institutions do not consider Kenya eligible for debt relief under the HIPC programme because it has not met the requirement of going to the Paris Club debt negotiating table.

Meanwhile Kenya's teachers returned to work 'because of our love for parents and children', according to KNUT leader Ambrose Adongo. Other teachers felt angry and cheated by a government who claimed 'I have told the teachers time and again that the government does not have the money'

(Daily Nation 21/10).