CREDIT

World Bank lends Kenya Sh16.2bn loan for slums upgrade

The country received the first phase of the fund in 2011 worth $165 million

In Summary
  • This is the second phase of the Kenya Informal Settlements Improvement Project 
  • It is expected to improve access to basic services, such as clean and safe water
Mukuru, one of the biggest slums in the country.
Mukuru, one of the biggest slums in the country.
Image: FILE

Kenya has received a $150 million (Sh16.2billion) facility from the World Bank to improve living standards for 1.7 million residents living in selected Kenya’s urban informal settlements.

The country received the first phase of the fund in 2011 totaling to $165 million

Speaking after the global lender's board approved the facility for Kenya late last week, Camille Lampart Nuamah, World Bank acting director for Kenya said urbanization and an increasing share of the poor living in urban areas have outpaced services and infrastructure provision. 

 

''This project will contribute to reducing this infrastructure and services gap,”  Nuamah said.

She added that the project will also cushion urban informal settlement residents who depend on daily earnings against the negative socio-economic impact of the COVID-19 pandemic.

Upgraded infrastructure under the KISIP2  is expected to improve access to basic services, such as clean and safe water; mobility within the informal settlements; access for emergency vehicles; and the resilience of communities in instances of disasters.

In addition, it will increase the connectivity of residents to socio-economic opportunities while the high-mast lights will enhance economic activities by reducing crime.

It will also link at-risk youth to programs focused on building skills and creating opportunities for employment and self-employment.

“In the short run, the works related to upgrading roads will provide an important source of employment opportunities for unskilled, informal and vulnerable workers,'' said Sheila Kamunyori, Urban Specialist world Bank said.  

She added that the lender is keen to continue supporting the government’s effort to the ongoing Kazi Mtaani program in the subsequent phases to reach up to 200,000 youth across all 47 counties. 

The project will strengthen national and county institutions to scale up slum upgrading, involve communities in implementation, including efforts to close the gender gap across interventions.  

The project will be implemented through institutional arrangements at the national level and county level.

Criteria to determine eligible settlements have been developed to ensure that the project has a maximum impact for the targeted beneficiaries.

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