This practitioner report outlines the nature of constraints to the development of ICT markets in Kenya, and identifies the cause of key market failures to grow domestic capacity. Results of an initiative to improve Kenyan ICT capacity though mentoring, international collaboration and the use of Agile project management methods are discussed. Based on findings from CodePamoja, a two-year collaboration between Dutch and Kenyan IT companies and the German government, the report explains how the use of cross-border Agile teams may align well to the objectives of those working in ICT4D.