Devolving climate finance: Lessons from a Kenya-Nepal peer exchange on locally-led adaptation

The document details a knowledge exchange between Kenya and Nepal focused on devolved climate finance. It highlights Nepal's challenges in accessing international funding and the potential for Nepal to replicate Kenya's Financing Locally-Led Climate Actions (FLLoCA) model and County Climate Change Funds (CCCF) to empower local governments and communities in climate adaptation.

• Nepal faces significant barriers in accessing climate finance at the local level because municipal governments are not permitted to access international funding directly, relying instead on federal fiscal transfers or national government implementation.
• Despite an increase in climate-related funding in Nepal from USD 3.2 billion in FY 2017/18 to USD 5.2 billion in FY 2022/23, the portion of the budget directly relevant to implementing Local Adaptation Plans for Action (LAPA) has remained stagnant at 17%.
• Kenya has established a successful devolved finance system through County Climate Change Funds (CCCF), which are legally anchored in County Climate Change Acts/Policies and have been scaled to all 47 counties.
• The peer exchange suggests that Nepal could enhance its climate resilience by replicating the participatory framework of Kenya's Financing Locally-Led Climate Actions (FLLoCA) programme, specifically by creating provincial climate funds and mechanisms that provide funding directly to communities.

APA

Climate and Development Knowledge Network (n.d.). Devolving climate finance: Lessons from a Kenya-Nepal peer exchange on locally-led adaptation. https://cdkn.org/story/devolving-climate-finance-lessons-kenya-nepal-peer-exchange-locally-led-adaptation

Chicago

Climate and Development Knowledge Network. Devolving climate finance: Lessons from a Kenya-Nepal peer exchange on locally-led adaptation. n.d. https://cdkn.org/story/devolving-climate-finance-lessons-kenya-nepal-peer-exchange-locally-led-adaptation.

Wikipedia

{{cite report |author=Climate and Development Knowledge Network |title=Devolving climate finance: Lessons from a Kenya-Nepal peer exchange on locally-led adaptation |url=https://cdkn.org/story/devolving-climate-finance-lessons-kenya-nepal-peer-exchange-locally-led-adaptation |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climateanddevelopmentknowledgenetworknddevolving, author = {{Climate and Development Knowledge Network}}, title = {{Devolving climate finance: Lessons from a Kenya-Nepal peer exchange on locally-led adaptation}}, institution = {Climate and Development Knowledge Network}, url = {https://cdkn.org/story/devolving-climate-finance-lessons-kenya-nepal-peer-exchange-locally-led-adaptation}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }