Categories: Business

World Bank Lowers Private Funding Target for Kenya Housing Reform

The World Bank has reduced the amount of private money expected to support Kenya’s housing and land reform programme ahead of a key board meeting in March.

The bank cut the expected private funding from US$900 million (about KSh116.1 billion) to US$360 million (about KSh46.4 billion). As a result, the total financing for the programme has dropped from US$1.35 billion (KSh174.2 billion) to US$910.3 million (KSh117.4 billion).

The proposal is set to be reviewed by the World Bank board on March 19, 2026.
To help fill the gap, more concessional loans have been added to the package. Concessional lending now stands at US$475 million (KSh61.3 billion). In addition, the OPEC Fund has contributed US$75 million (KSh9.7 billion), increasing the share of lower-cost funding linked to policy reforms.

The reduction in private capital points to weaker investor interest or greater caution around risks in Kenya’s housing sector. This puts more pressure on the government to improve project planning, land management, and delivery systems in order to attract private investors back into the programme.

Branislav Opudo

Recent Posts

Twenty Refugee Schools Make Cut For The 9th National Stem Exhibition To Showcase AI-Driven Student Innovation

Nairobi, Wednesday 5th August 2026 – Twenty Refugee schools from Kakuma and Dadaab made the…

13 hours ago

IFC Plans KES 19.4 Billion Funding Boost for KCB’s SME Lending

KCB is set to receive fresh funding from the International Finance Corporation (IFC). The proposed…

16 hours ago

Regional Growth and Digital Lending Lift NCBA Half-Year Profit

NCBA Group has posted double-digit profit growth for the first half of 2026. Strong performance…

16 hours ago

Absa Accelerates Credit Risk Reporting Through Automation

Absa has dramatically reduced the time needed to generate credit risk reports. The bank says…

1 day ago

Safaricom Expands Senior Finance Executive’s Responsibilities

Safaricom has expanded the responsibilities of a key finance executive. The telecommunications firm has appointed…

1 day ago

Munya Unyielding Rejects Gachagua’s Merger Bid, Signals Political Rift

Party of National Unity (PNU) leader Peter Munya has firmly rejected calls by former Deputy…

2 days ago