Kenya should complete its fiscal devolution and close the infrastructure gaps as well as to continue its regional integration in order to achieve its goal to become a middle-income economy within the next decade, said Christine Lagarde , managing director of the International Monetary Fund (IMF), in a speech held on January 6, 2013 in Nairobi . The country needs to implement the fiscal devolution successfully in order to secure access to resources to all parts of the country, as well as to ensure that every region benefits from improved economic conditions. According to Lafarge , a successful devolution would boost social cohesion by increasing accountability in the management of public resources, and improving the quality of services delivery. Lafarge also noted that Kenya still has large infrastructure gaps that must be tackled in order to increase its economic growth and create new jobs. The country could benefit from its newly discovered natural resource wealth to lift its economic prospects, but these resources need to be exploited wisely and transparently. Kenya is creating a regulatory framework to manage the use of revenues from natural resources and the country should secure a transparent environment for investors, as well as stable base for government revenue. Kenya should also continue its regional integration which has opened up the country to new markets and raised the domestic demand. Lafarge noted that Kenya's prudent policies have helped anchor the conditions for strong and stable growth. The country's fiscal discipline has improved both the external and domestic debt positions. Lafarge noted also that Kenya has built a strong external position and is now in a favourable condition to tap international financial markets with the planned Eurobond issue.
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