Mudavadi said Kenya cannot be an exception to this trend, even as he reiterated the government's commitment to transform refugee camps into integrated settlements.
"By promoting the socio-economic inclusion of refugees, we are collectively preparing them for the eventual voluntary repatriation to their home countries," he said.
To anchor this shift, the government developed a Marshal Plan dubbed "Shirika Plan" last year to provide a relevant policy and implementation roadmap.
Mudavadi said the plan will ensure host communities in Turkana and Garissa benefit from additional development support.
It will also promote peaceful coexistence between refugees and host communities and save host centres from turning into ghost towns when refugees eventually leave.
He cited Kalobeyei Integrated Socio-economic Development Plan in Turkana and the Garissa Integrated Socio-economic Development Plan as examples of the social-economic inclusion of refugees.
Mudavadi urged the international community and private sector to increase financial and technical support to promote the socio-economic inclusion of refugees.
"The policy commitments the government is making will only yield desired results with your enhanced support. Building the necessary self-reliance and resilience for refugees and host communities obliges us to dedicate more financial and material investments that the government, alone, cannot meet," he said.
As a conducive environment for refugees is created in Kenya country, he said other viable solutions should also be explored.
Mudavadi emphasized on ensuring peace and stability in refugees' countries of origin as integral to a realistic quest for refugees' settlement.