Climate finance landscape in arid and semi-arid counties of Kenya

The report examines the geographical, socio-economic and environmental characteristics of these regions, explores the specific climate change impacts and adaptation challenges they face, and assesses the significance of climate finance in building resilience and promoting sustainable development. Key findings reveal that these counties are highly vulnerable to climate change, experiencing challenges such as water scarcity, food insecurity, environmental degradation and socio-economic vulnerabilities. Results show that public funding allocated to adaptation within counties is notably low, comprising only 20–25% of total public funding. This disparity is particularly acute for marginalized communities. The financial gap for adaptation is widening, and the escalating costs of climate change will exacerbate this issue in the future.

The report identifies several opportunities and innovative approaches for enhancing climate finance in the arid and semi-arid counties, including leveraging international support, strengthening local institutions, promoting sustainable investment models, and adopting nature-based solutions. Recommendations are provided to address challenges hindering effective mobilization and utilization of climate finance, such as limited access to financial resources, weak institutional capacity, fragmented coordination, and uncertain policy environments.