NAIROBI, Kenya – The World Bank has approved a Sh16.5 billion (US$127.5 million) financing package for a new project aimed at improving the lives of Kenya’s most vulnerable populations — including the elderly, youth, women, and persons with disabilities.
Dubbed the Second Kenya Social and Economic Inclusion Project (KSEIP2), the initiative is expected to benefit over 12 million Kenyans by expanding access to income-generating opportunities, basic services, and climate resilience.
“This is about helping the most vulnerable Kenyans access better opportunities and prepare for the future,” said Qimiao Fan, World Bank Country Director for Kenya. “It’s not just about handing out money, but ensuring families can support themselves in the long run through employment and better access to healthcare and education.”
KSEIP2 builds on the success of the first phase of the project and will channel funds through existing government systems such as the National Safety Net Program (NSNP) to deliver regular cash transfers to orphans, elderly persons, and people living with disabilities.
But unlike traditional aid models, the programme will implement a ‘cash-plus’ approach, which combines cash transfers with job training, business development support, nutrition and education services, and links to public pension and insurance schemes.
World Bank Senior Economist Shubha Chakravarty, who is leading the project, said the support is geared toward long-term transformation. “This support aligns with our goal of giving every Kenyan a fair shot at success. It focuses on building productive households rather than creating dependence.”
Breaking the Cycle of Poverty
A key focus of KSEIP2 is equipping children and adolescents with tools to break the cycle of intergenerational poverty.
The programme will invest in nutrition, education, and life skills to prepare the next generation for a more productive and healthy future.
In addition, the project incorporates climate-smart practices to help low-income households cope with increasing climate-related shocks such as drought and food price inflation.
A rapid response system is also being established to provide emergency cash relief in drought-prone areas, particularly in northern Kenya.
The World Bank noted that its support aligns with the government’s broader efforts to reduce poverty and strengthen resilience in marginalised communities.
The initiative follows earlier World Bank-backed programmes such as the Kenya Youth Employment and Opportunities Project (KYEOP) and the original KSEIP, which helped vulnerable families establish small businesses and gain access to critical services.
With the launch of KSEIP2, the World Bank is reaffirming its long-term partnership with Kenya in tackling poverty, promoting social inclusion, and building household-level resilience in the face of economic and environmental uncertainty.
