The report comprises six chapters. Following the introduction, Chapter 2 reviews recent international experience and theoretical and empirical literature on the relationship between growth, inequality and poverty. Chapter 3 reviews the main features of Kenya's growth and poverty reductionperformance, and reports on empirical analysis of the determinants of Kenya's growth. Chapter 4 examines macroeconomic policy choices and their relevance to poverty, particularly in the light of the Interim PRSP document. Chapter 5 presents information on sectoral performance and policy issues for agriculture, industry, and tourism. Chapter 6 presents, based on the previous chapters, the outline of a pro-Poor Growth Strategy for Kenya.