UK gives counties Sh1.1bn for green investment projects
Leigh Stubblefield, UK Deputy High Commissioner and Development Director to Kenya.
Britain has extended Sh1.1 billion (£6.6 million) to Kenya to help 10 counties access green finance for funding eco-projects.
The UK government said the money will fund the devolved units to direct investment towards sectors most in need of support including water, healthcare and energy infrastructure.
The 10 are Embu, Kirinyaga, Kisumu, Laikipia, Nairobi, Makueni, Nandi, Taita-Taveta, Vihiga and Wajir.
Britain also disclosed funding an expert analysis to guide the investments. "These could deliver economic returns whilst meeting the specific needs of local communities," the advisory said.
"As flooding causes disruption across Kenya, we can clearly see that the countries least responsible for climate change are the worst affected. We admire Kenya's impressive climate credentials and are proud of our climate partnerships," said Leigh Stubblefield, development director at the British High Commission in Nairobi.
According to the British High Commission, the money is meant to kick-start establishment of 50 green investment projects nationwide.
The allocation was guided by the County Green Finance Assessment, which assesses the ability of counties nationwide in funding for green projects.
According to the British government, the survey analysed each county based on four criteria: financial performance, credit risk, availability of green investment opportunities, and the their ability to manage green finance.
The report was developed by Agusto & Co Africa's first and only credit-rating agency for verifying green bonds, projects and assets.
"This was in partnership with the Capital Markets Authority, the Adaptation Consortium, and the Nairobi Securities Exchange. The assessment was completed with the approval of the National Treasury and Economic Planning," the British government noted.
Ms Stubblefield said the assessment report and funding are long-term commitments to find quality, long-term solutions.
"I encourage countries to use the report to continue along the path of green growth, so together we can protect our people, planet, and prosperity. We go far when we go together," she said.
Ms Stubblefield is confident that the funding increase from Sh5.2 billion will mostly support the 10 counties in developing these 50 projects and securing financing to make them a reality.
Tamara Cook, CEO of Financial Sector Deepening Kenya (FSD Kenya), agrees with Ms Stubblefield, saying that assessing the green opportunity in counties illuminates the immense natural asset base that needs to be managed, protected and preserved.
"It is also clear that core government services such as water, energy, waste management and transport provide valuable avenues for green investment possibilities where there is growing demand.
The next step will be to prepare green projects with counties so that green funding can be directed towards local development priorities in a manner that creates lasting impact."
The funding increase will also support development of new financial solutions to increase access to affordable, green, quality housing, including associated infrastructure and services," she said.
The British High Commission believes green investments could create jobs and grow local economies while protecting the country's biodiversity and unique landscapes.
The money will also support the development of new financial solutions to increase access to affordable, green, quality housing, including associated infrastructure and services.
The analysis was produced by Deepening Kenya's financial sector. This independent trust set-up seeks to deliver financial solutions to Kenya's real-world challenges.
"FSD will also support counties in developing and implementing projects," the High Commission disclosed.
