Kenya readies for $171m to manage climate risk

Saturday October 30 2021
Keith Hansen

Keith Hansen, WB country director for Kenya. Disbursements from the bank will be pegged on performance. PHOTO | FILE


The World Bank Board of Directors in Washington said Wednesday it had approved a Ksh16.6 billion ($150 million) International Development Association (IDA) credit to support community-identified and locally-led climate resilience projects in all rural wards in Kenya.

The financing will be supplemented by a grant of Ksh2.37 billion ($21.4 million) from the Social Sustainability Initiative for All Umbrella Multi-Donor Trust Fund with resources from the Denmark and Sweden governments, to total $171.4 million.

The money will be channelled through the new Financing Locally-Led Climate Action (FLLoCA) Programme. At least 87.5 percent of the resources will be spent at the county and community level.

“Kenya has demonstrated leadership in establishing a policy framework to manage climate risk though action is still underfunded,” said World Bank country director for Kenya, Keith Hansen.

Vulnerable groups

Counties administrations will implement the FLLoCA programme under the Programme for Results (PforR) instrument in which counties will receive their annual disbursements based on their performance against a specified results-based criterion.


The money is for counties most vulnerable to climate risks and those committing to ensure climate finance reaches the lowest levels.

The PforR will support community-level climate resilience investments, incentivise system changes and strengthen county governments’ climate finance.

It will strengthen national government capacity to support county government actions, enhance collaboration of national entities on climate change, and facilitate programme oversight.

“Rural areas, especially arid and semi-arid regions that have been affected by the impacts of climate change such as droughts and floods, outbreaks of climate-related diseases will be the primary beneficiaries,” said World Bank’s Senior Social Development Specialist and Task Team Leader, Nicholas Soikan.

It will address gender and other equity dimensions so women, youth, marginalised and vulnerable groups, minorities, senior citizens, poor households, and persons with disabilities benefit.