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The Green Climate Fund (GCF) and KCB Bank Kenya Limited propose a 10-year, USD 96.9 million blended finance programme to increase climate resilience and reduce GHG emissions in Kenya. The programme targets 'hardest-to-reach' MSMEs and farmers, particularly in Arid and Semi-Arid Lands (ASALs), through a tiered vulnerability cluster framework. Key interventions include a USD 65 million CST facility consisting of concessional loans and a USD 20.3 million GCF guarantee to de-risk lending. The project aims to reduce 3.93 million tCO2e and reach 935,692 beneficiaries, with a strong focus on women-led enterprises and the integration of digital lending and climate risk assessment tools.

The report analyzes climate finance in Kenya's arid and semi-arid lands (ASAL), specifically in Turkana, Elgeyo Marakwet, Narok, and West Pokot. It finds a significant misalignment in funding, with over 60% of climate finance directed toward mitigation despite the high vulnerability of these regions to climate-induced droughts and floods. The study identifies severe funding gaps, where actual budgetary allocations for climate action in some counties are as low as 2% to 9% of estimated needs. Key barriers include weak institutional capacity, fragmented governance, and limited access to formal financial markets. The report recommends strengthening county-level technical skills, promoting innovative financing like green bonds and blended finance, and mainstreaming climate priorities into local budgeting to improve adaptation outcomes.

This research paper by the Stockholm Environment Institute analyzes land use and land cover (LULC) data from 2001, 2011, and 2021 to project outcomes for 2050 in four arid and semiarid counties in Kenya. The study evaluates three scenarios—achieving 10% forest cover, converting forests to croplands, and restoring degraded forests—to guide sustainable land management and meet Kenyan government climate commitments.

The study analyzes LULC trends in Turkana, Narok, West Pokot, and Elgeyo Marakwet counties, finding that achieving a 10% forest cover target yields the most favorable environmental and agricultural outcomes by 2050. It warns against the 'Shamba system' of forest-to-cropland conversion and highlights the threat of invasive species, particularly Prosopis juliflora, in arid regions.

The report examines the vulnerability of agro-pastoral value chains in Kenya's arid and semi-arid lands (ASAL) to climate change, specifically focusing on temperature increases and rainfall variability. Using the VC-ARID methodology, it analyzes eight value chains: pasture/fodder, livestock, bee, gum and resin, aloe, poultry, mango, and beadwork. Findings indicate that rising temperatures and water stress generally reduce productivity for livestock, poultry, and fodder, while potentially increasing yields for gum and resin. The report emphasizes the need for transformative adaptation, including the formalization of cooperatives, improved market infrastructure, and the integration of gender-inclusive policies to enhance community resilience.