The Landscape of Climate Finance in Kenya

The report 'The Landscape of Climate Finance in Kenya' analyzes climate finance flows in Kenya for 2018, comparing them against the financial requirements of the country's Nationally Determined Contribution (NDC). It finds a significant funding gap, with tracked finance meeting only one third of the annual need, and a misalignment between the high proportion of mitigation funding (primarily in renewable energy) and the country's adaptation-focused needs.

• Kenya's estimated cost for implementing mitigation and adaptation actions for 2020-2030 is KES 6,775 billion (USD 65 billion). This follows previous estimates of KES 4,040 billion (USD 40 billion) in 2015 and KES 1,848 billion (USD 18.3 billion) for the 2018-2022 period.
• In 2018, KES 243.3 billion (USD 2.4 billion) flowed to climate-related investments, which represents approximately one third of the annual financing required to meet NDC targets. Public investment accounted for KES 144.3 billion (59.4%), while private sector investment totaled KES 98.9 billion (40.7%).
• There is a significant misalignment between climate finance allocation and Kenya's adaptation-focused NDC. Over 79% of finance was directed toward mitigation—specifically renewable energy—while only 11.7% went to adaptation. The water and blue economy sector is identified as having the largest financing gap.
• International public climate finance is heavily skewed toward debt and mitigation, with 79% delivered as debt and 55% channeled toward mitigation. The report notes that international partners must sustain at least 87% of costs by 2030 to meet NDC requirements, a level not achieved in 2018.
• Climate-related disasters, including floods and droughts, create an annual economic liability of 2-2.8% of Kenya's GDP due to the economy's dependence on climate-sensitive sectors such as agriculture, water, energy, tourism, wildlife, and health.

APA

Climate Policy Initiative (2021). The Landscape of Climate Finance in Kenya. https://www.climatepolicyinitiative.org/publication/the-landscape-of-climate-finance-in-kenya/

Chicago

Climate Policy Initiative. The Landscape of Climate Finance in Kenya. 2021. https://www.climatepolicyinitiative.org/publication/the-landscape-of-climate-finance-in-kenya/.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=The Landscape of Climate Finance in Kenya |date=26 March 2021 |url=https://www.climatepolicyinitiative.org/publication/the-landscape-of-climate-finance-in-kenya/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2021landscape, author = {{Climate Policy Initiative}}, title = {{The Landscape of Climate Finance in Kenya}}, institution = {Climate Policy Initiative}, year = {2021}, month = mar, url = {https://www.climatepolicyinitiative.org/publication/the-landscape-of-climate-finance-in-kenya/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }