Country: Kenya

SWISS RE Foundation extends funding support to BimaLab Africa Insurtech accelerator I

Posted on by Kihingu Inc

The acclaimed and innovative Bimalab Africa Insurtech accelerator program by FSD Africa is now set to expand to cover a total of fifteen countries across the African continent from the initial ten countries covered in the 2023 program, following a US$ 600,000 support by Swiss Re Foundation.

Launched in Kenya by FSD Africa in 2020 and supported by the Swiss Re Foundation since 2023, the BimaLab Africa Insurtech Accelerator Program offers hands-on venture-building support to high-impact insurtech start-ups that improve the resilience of underserved and climate-vulnerable communities.

In this extension of the Foundation’s support through 2025, BimaLab will expand its footprint to accelerate 55 insurtechs in a total of 15 African countries. It will build strong innovation ecosystem by activating investors, capacity-building networks, and corporate institutions to unlock capital, attract talent and share knowledge about insurance solutions tailored to those communities’ needs.

BimaLab Africa addresses problems faced by vulnerable communities and businesses, it gives priority to enterprises that address challenges on climate change, health and gender as well as obstacles faced by micro, small and medium enterprises. Africa’s protection gap, or uninsured losses, for natural catastrophes was around 80% of the total economic losses they caused in 2022, up from 58% one year earlier. These figures highlight the severity and volatility of the region’s natural disasters as well as its lack of financial protection against them. BimaLab Africa will create an insurtech innovation ecosystem that supports the growth of insurtechs; reach underserved markets, communities and households.

“Insurance provides a crucial safety net when people experience threats like natural disasters, ill health or economic disruption.  We are proud to scale our partnership with BimaLab Africa, an initiative we strongly believe in. Bimalab Africa supports the growth of insurtechs, their reach to underserved markets, communities and households. It creates an insurtech innovation ecosystem in Africa. ” said Stefan Huber Fux, Director of the Swiss Re Foundation.

Bimalab Africa program is a unique programme bringing together insurance innovators, technology partners, insurance firms, investors, and regulators to work in concert in unlocking industry bottlenecks in modernising insurance services. Previously Bimalab Africa has had chapters supporting insurtechs in Egypt, Ethiopia, Ghana, Kenya, Morocco, Nigeria, Rwanda, South Africa, Uganda, and Zimbabwe. Among the new countries where the programme seeks to spread wings to are Tanzania, Tunisia, Senegal, Zambia, Malawi, and Somalia.

FSD Africa Principal Innovation and Resilience and Bimalab Africa Programme Lead Elias Omondi says the impact of the programme has been phenomenal over the last four years in expanding the reach of the program and playing a catalytic role in innovation by developing products for vulnerable customers and attracting investors to insurtech startups.

“BimaLab Africa enables startups enjoy access to a structured learning environment, mentorship, funding connections and a network of like-minded entrepreneurs, financiers, tech companies and regulators that can help them grow their businesses.  We have supported 63 startups since 2020 and facilitated development of 3 regulatory sandboxes. Furthermore, investors have supported ten ventures providing over US$10 million in funding and over 40 products developed have reached more than 3 million new customers reached” said Elias Omondi, Principal from FSD Africa.

Insurance penetration in Africa has been lagging compared to other parts of the globe at only 3% compared to the world average of 7%. Innovation and technology are expected to play a key role in addressing the challenge.

African Guarantee Fund partners FSD Africa to boost Green SME Financing

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The African Guarantee Fund (AGF), a leader in promoting financing of Small and Medium-sized Enterprises (SMEs) across Africa and FSD Africa, a pioneering development agency committed to reshaping Africa’s long-term financial landscape, have today signed a strategic Cooperation Agreement aimed at propelling the growth of Green SMEs by providing critical financial support, technical assistance, and capacity building.

The Cooperation Agreement outlines a detailed framework collaboration between the organizations in boosting sustainable development in Africa. The main aspects of this partnership involve assisting in the development of financial products for institutions, offering partial credit guarantees for bonds and funds raised on behalf of SMEs, and conducting capacity-building events.

Furthermore, by providing financial support and fostering business growth, Green SMEs are expected to play a pivotal role in reducing CO2 emissions. This active contribution aligns with the overarching goal of preserving the environment and facilitates access to finance for business growth and empowering SMEs to generate and sustain employment opportunities, especially for youth and women.

Speaking during the agreement signing, Mark Napier, Chief Executive Officer of FSD Africa said: “This partnership represents an important milestone in our efforts to foster sustainable economic development in Africa. By leveraging the strengths of FSD Africa and the African Guarantee Fund, we will actively create a robust ecosystem that empowers Green SMEs. This collaborative effort aims at facilitating access to affordable long-term funds, thereby accelerating the transition towards a greener and more resilient economy.”

Jules Ngankam, AGF Group Chief Executive Officer said: “Fostering a green economic transformation in Africa is one of our key priorities. Through this partnership, AGF will provide financial institutions with bank fundraising guarantees to enable them access affordable funds aimed at facilitating loans to SMEs investing in low carbon and climate resilient businesses”.

Additionally, AGF will extend partial credit guarantees to lenders in a bid to enhance credit accessibility for Green SMEs, empowering them to flourish and make meaningful contributions to environmental conservation.

The two organisations will also provide technical assistance on green financing initiatives, which is critical in building the capacity of key stakeholders such as Governments, Financial Institutions, and Green SMEs.

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Catalyst Fund invests $1.8 million in nine African climate startups

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Catalyst Fund, a pre-seed VC and accelerator, backs nine African early-stage climate tech startups with a $1.8 million investment to bolster their impact and growth trajectory.

The nine startups benefiting from the investment include Mazao Hub and Medikea from Tanzania, Earthbond, Zebra Cropbank, and Scrapays from Nigeria, Keep It Cool from Kenya, NoorNation from Egypt, Thola from South Africa, and Tolbi from Senegal.

In September 2023, Catalyst Fund achieved its first close, securing $8.6 million out of its $40 million target for investments in African climate startups. Notable investors include FSD Africa, FSDAi, Cisco Foundation, USAID Prosper Africa, and Andrew Bredenkamp.

The Catalyst Fund, established in 2016 and overseen by BFA Global, supports startups in accessing capital, talent, and market opportunities. This marks the fund’s second round of investments in African startups addressing climate change challenges.

In January 2023, Catalyst Fund allocated $2 million to ten startups focused on developing solutions for Africa’s climate-vulnerable communities.

As a result, this latest investment broadens Catalyst Fund’s portfolio to encompass 19 companies operating in eight diverse markets: Kenya, Egypt, Morocco, Nigeria, Senegal, South Africa, Tanzania, and Uganda. The Catalyst Fund team will offer comprehensive venture building support to these startups, effectively integrating them as extensions of their own teams.

These startups are actively addressing climate-related challenges within various sectors, including agriculture, healthcare, energy access, and waste management.

In 2023, a survey revealed that over 110 million Africans faced direct consequences from weather, climate, and water-related hazards in 2022, resulting in economic damages surpassing $8.5 billion.

In discussing the investment, Maelis Carraro, Managing Partner at Catalyst Fund, highlighted that the models utilized by the startups “empower farmers, healthcare providers, waste workers, and small and medium businesses to effectively adapt to the impacts of climate change, thus fostering economic growth with a positive climate impact.

Additionally, Maxime Bayen, Operating Partner at Catalyst Fund, emphasized that “with these latest investments, [Catalyst Fund] is committed to further diversifying its portfolio across various models, climate adaptation sectors, and geographic regions.

In 2022, Catalyst Fund secured a $3.5 million investment from FSD Africa to enhance its footprint and scalability across Africa. With this funding, its objective is to bolster 40 pre-seed impact ventures focused on developing solutions for marginalized climate-vulnerable communities in Africa, while also offering comprehensive venture-building assistance.

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Gender Bonds Toolkit Unveiled In Nairobi To Centralize Capital For Women

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NAIROBI, Kenya, Feb 19 – A new gender bonds toolkit has been introduced in Nairobi to centralize capital for women in the African capital markets.

FSD Network’s gender collaborative program, British International Investment (BII), and the United Nations Entity for Gender Equality and the Empowerment of Women (UN Women) are the proponents of the program.

The toolkit seeks to equip stakeholders with the necessary insights and strategies to foster inclusive and impactful investments, bridging gender gaps in the investment landscape.

Generally, gender-focused bond issuances have been viewed as complex due to the lack of a ‘go to’ reference on the process and procedure.

However, the toolkit will champion the centralization of efforts to mobilize gender smart capital, strategically addressing technical capacity gaps on both the demand and supply sides.

“With the launch of the gender bonds toolkit, FSD Africa together with our partners are catalysing a seismic shift in African capital markets,” Mark Napier, Chief Executive Officer of FSD Africa, said during the launch.

“This initiative not only signifies our commitment to gender equality but serves as a powerful tool to mobilize capital, foster sustainable growth, and empower women across the continent,’’ Napier added.

According to a report by UN Women and UNDP in 2022, sustainable bonds aligned with SDG 5, achieving gender equality and empowering all women and girls, were still 1 percent of the $900 billion issued through green, social, sustainability, and sustainability-linked bonds.

The financing gap was even more evident when gender finance was considered as a proportion of total global assets under management (AUM), making up not even 0.01 percent.

However, as of June 2023, global Assets Under Management for Use of Proceeds bonds dedicated to gender equality and women’s empowerment reached $13.5 billion, underscoring the increasing significance of gender-focused investments.

“As a founding member of the 2X Challenge and a leader in providing gender finance, BII is committed to empowering women’s economic development,” Jo Fry, Investment Director, and Head of Intermediated Financial Services at BII, said.

“This means that we’re constantly looking for new ways in which we can mobilise more capital and better support women,” Fry stated.

“Our goal in producing this guide is to demonstrate and create better understanding of how effective gender impact bonds can be as an investment tool to advance gender equality in Africa.”

Parallelle Finance, an investment research and consulting firm, served as the author of the toolkit.

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The role of capital in catalysing the development of a more sustainable Africa

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Coordination problems are hard! Solving them represent potential for massive returns. The paradox of “insufficient demand” for already available capital pools, and the taunted “financing gap” on the other is perhaps a famous coordination problem in development finance circles.

If capital was a person, she would have to be ambitious – while avoiding hubris, readily embrace ambiguity showing a deep interest in, and a belief in a more prosperous future. She would have natural aptitude for building strong relations and for solving hard relational problems – while not being suicidal. She would be agile – showing great ability to renew herself for new emerging risks and opportunities. She would need to have training in management of trauma and disappointment, all while embodying a philosophy of optimism.

She would brush up on her Keynesian economics and contemplate its implications in the context of low productivity in Africa, ongoing debt distress, and weak institutions of political governance.

Africa needs capital that is fearless, brave, and courageous – intrepid. A form of capital that works on two sides of development, it will serve to accelerate capital flows on one hand, and work to unlock demand on the other. Her vision will draw from two themes – first, an ambition to deeply explore and design paths to solving Africa’s intractable development and second, an ambition that anticipates nasty surprises all the while building partnerships, institutions, and incentives to get things going. An ambition that fuses understanding with execution.

At FSDAi, we are working hard to solve these problems and provide risk-bearing, early-stage capital in innovative forms to support venture-building stage capital allocators who combine capital with other critical support to businesses at the start-up and early stages. We are also working to develop new asset classes – across private credit, guarantees, and alternatives among others. To do this well, we work from the ground up to ensure we understand the demand side of capital – interrogating market conditions, through partners, building a pipeline of investable opportunities, and addressing talent gaps. FSDAi works too on the capital formation side, providing catalytic capital that makes it easier to attract new forms of capital.

In markets, tailwinds can quickly become headwinds. As the global inflation has shown, capital flight is all too easy. The inflationary pressures were not always obvious, and most countries in Africa were focused on kickstarting their economies from the ravages of the Covid pandemic when the inflationary headwinds hit. Africa faces weak economies, high unemployment rates and low productivity and debt overhang – local and external. Backing enterprise is not equivalent to putting out your sail; and yet, optimism of the future of Africa should be fused well with certainty of turbulence in markets over time.

Africa will need capital that encourages entrepreneurs to emerge. That will mean finding capital that is patient and that can catalyze other capital to flow onto the continent. Capital that can persuade local pension funds to invest. The current equilibrium is unsatisfactory – there is not enough capital that accepts disproportionate risk, enables third-party investment that otherwise would not be possible, and is long term. Capital at start-up, early, venture-stage and SME growth capital is still severely in short supply.

Local capital is all too often preserved in money markets and government treasuries and only trickles into the real economy. Capital flows to address early-stage ventures is especially limited as most fund managers are too risk-averse and impatient. Even when they take risks, venture funds are pack hunters – signalling each other to back the same ventures.

To truly address the demand side – enterprises that have ambitions to build sustainable infrastructure, innovate to cut pollution, manage just transitions, and spur investment across a wide range of sectors will be essential.

FSDAi and FSD Africa are working on innovations to catalyze capital flows across the continent. These initiatives include supporting structures that facilitate risk transfer mechanisms including credit enhancement and mechanisms to manage foreign currency risks. In addition to backing fund managers to build capacity and accelerate investment in climate. Other initiatives have included investing in themed investment structures that can respond to specific priorities such as affordable housing, agriculture, or even investments towards green transition.

FSDAi has been supporting capital allocators by enabling blended structures. In these structures, FSDAi provides risk-bearing equity that shields private capital that is less courageous. Convertible instruments is another tool in FSDAi’s stable – allowing conversion to equity upon success

Unlocking capital through demonstration is also a tactic that we have deployed. This allows founders with credible business models to access capital early, test and raise further capital on the back of a tested business model.

FSDAi is working to provide mechanisms to test, accelerate and mobilise capital at scale to address these demand and supply side issues to deepen access to inclusive and functional financial markets. In return, ventures will emerge to address the climate challenge. When more appropriate capital is available, more of these ventures will thrive.

Catalyst Fund has backed 6 African climate-tech startups in last 4 months

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Pre-seed venture capital (VC) fund and accelerator Catalyst Fund has made investments in six African climate-tech startups in the last four months, having announced a first close of its US$40 million fund in September.

Catalyst Fund is a pre-seed VC fund and accelerator backing high-impact tech startups that seek to improve the resilience of underserved, climate-vulnerable communities. It partners with mission-driven founders that share our vision of a world where every individual has the tools and opportunities they need to thrive.

Until a year ago, the organisation offered grant capital to selected startups, but in January 2023 it announced a US$2 million investment into 10 startups funded by a US$30 million fund anchored by financial sector development agency FSD Africa.

Focused on startups building solutions to improve the resilience of climate-vulnerable communities in Africa, Catalyst Fund in September of last year announced the successful first close of its targeted US$40 million fund, with over 20 per cent committed.

The fund, which offers US$100,000 of equity investments as well as US$100,000 of hands-on venture-building support, has since then announced six investments. In November, it announced investments in Tolbi, a pan-African climate-agtech startup using satellite imagery and AI to enable climate-smart agriculture practices on the continent with data; and NoorNation, an Egyptian startup providing decentralised solar energy and water solutions tailored for farming businesses and underserved communities.

In December, it backed South Africa’s Thola, which democratises access to certifications to liberate SMEs to catalyse climate resilience and food safety – transforming compliance from an obstacle into an opportunity.

Then, in January, it funded Nigeria’s Zebra CropBank, which provides climate-smart solutions tailored to overcome the interlinked challenges holding smallholder farmers back; and Nigeria’s Scrapays, a waste management startup that enables individuals and small businesses to launch mini-waste enterprises.

And just last week it announced an investment in Tanzania’s Medikea, which makes affordable preventative and primary care, diagnostics, and compliance support more accessible to overlooked Tanzanians, directly empowering vulnerable groups to safeguard their well-being in the face of growing threats.

Catalyst Fund’s climate-focused fund has garnered significant backing from investors including FSD Africa, FSDAi, Cisco Foundation, USAID Prosper Africa, and seasoned tech investor Andrew Bredenkamp.

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FSD Africa and African Guarantee Fund partner to boost Green SME Financing

Posted on by TIMOTHYRADIER

Nairobi, Kenya, 09 February 2024: FSD Africa, a pioneering development agency committed to reshaping Africa’s long-term financial landscape, and the African Guarantee Fund (AGF), a leader in promoting financing of Small and Medium-sized Enterprises (SMEs) across Africa, have today signed a strategic Cooperation Agreement aimed at propelling the growth of Green SMEs by providing critical financial support, technical assistance, and capacity building.

The Cooperation Agreement outlines a detailed framework collaboration between the organizations in boosting sustainable development in Africa. The main aspects of this partnership involve assisting in the development of financial products for institutions, offering partial credit guarantees for bonds and funds raised on behalf of SMEs, and conducting capacity-building events.

FSD Africa and African Guarantee Fund partner to boost Green SME Financing

Furthermore, by providing financial support and fostering business growth, Green SMEs ae expected to play a pivotal role in reducing CO2 emissions. This active contribution aligns with the overarching goal of preserving the environment and facilitates access to finance for business growth and empowering SMEs to generate and sustain employment opportunities, especially for youth and women.

Speaking during the agreement signing, Mark Napier, Chief Executive Officer of FSD Africa said: “This partnership represents an important milestone in our efforts to foster sustainable economic development in Africa. By leveraging the strengths of FSD Africa and the African Guarantee Fund, we will actively create a robust ecosystem that empowers Green SMEs. This collaborative effort aims at facilitating access to affordable long-term funds, thereby accelerating the transition towards a greener and more resilient economy.”

Jules Ngankam, AGF Group Chief Executive Officer said: “Fostering a green economic transformation in Africa is one of our key priorities. Through this partnership, AGF will provide financial institutions with bank fundraising guarantees to enable them access affordable funds aimed at facilitating loans to SMEs investing in low carbon and climate resilient businesses. Additionally, AGF will extend partial credit guarantees to lenders in a bid to enhance credit accessibility for Green SMEs, empowering them to flourish and make meaningful contributions to environmental conservation.

The two organisations will also provide technical assistance on green financing initiatives, which is critical in building the capacity of key stakeholders such as Governments, Financial Institutions, and Green SMEs.

For more information, please contact:

FSD Africa
Nelson Karanja
Director, Communications, and Engagement
Email: nelson@fsdafrica.org

African Guarantee Fund
Diana Aluga
Group Communications & Public Relations Officer
Email: diana.aluga@agf.africa

About African Guarantee Fund

African Guarantee Fund (AGF) is a specialized guarantee provider whose mission is to facilitate economic development and poverty reduction in Africa. To achieve this, AGF increases access to finance for Small and Medium-sized Enterprises (SMEs) across key economic sectors through an array of guarantee products and capacity development assistance. Since inception, AGF has unlocked more than USD 3.5 billion in SME financing, through partnerships with 200 partner financial institutions across 40 African countries.

AGF is backed by the following shareholders and sponsors: The Government of Denmark through the Danish International Development Agency (DANIDA), the Government of Spain through the Spanish Agency for International Cooperation (AECID), the African Development Bank (AfDB), French Development Agency (AFD), Nordic Development Fund (NDF), Investment Fund for Developing Countries (IFU), German Development Bank (KfW), French Agency for Private Sector (PROPARCO), West African Development Bank (BOAD), Global Affairs Canada (GAC), USAID’s West Africa Trade & Investment Hub (WATIH), TechnoServe and Mastercard Foundation.

African Guarantee Fund is rated AA- by Fitch Ratings.

For more information, please visit: www.agf.africa

New Kenya Bond Exchange Sees Opportunity in Budding Debt Market

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  • Exchange to complete its capital raising in the first quarter
  • EABX will compete with existing Nairobi Securities Exchange

The new East African Bond Exchange, a would-be competitor for the Nairobi Securities Exchange, sees the prospect for exponential growth in Kenya’s bond market as it prepares to start operating in the first half of this year.

While Kenya has the third-biggest economy in sub-Saharan Africa, the value of corporate debt issued is barely 0.2% of its gross domestic product, compared with an average of 20% to 30% Of GDP in Asian nations, according to Terrence Adembesa, chief executive officer of EABX.

Meanwhile, he said the potential for trading the government’s domestic debt is three to four times the 5 trillion shillings ($31 billion) of outstanding liabilities, instead of just the 600 billion shillings traded in 2023.

“For an economy of our size, the debt market should be much deeper than it is and much more developed,” Adembesa said in an interview. “What you expect to see is enhanced liquidity, enhanced transparency and the provision of transparent pricing.”

Kenya sold $14.9 billion worth of bonds in 2023, compared with $14.6 billion a year earlier, according to Bloomberg calculations using official data. There were eight outstanding corporate bond issuers at the end of September, with a total outstanding amount of 28.4 billion shillings, according to data from the markets regulator.

EABX intends to enable issuers to better price their securities, while investors are expected “to have much more visibility around pricing,” Adembesa said. “You also expect to see a cost saving in terms of trading fees and issuing costs.”

Capital Raise

The exchange, which received its operating license earlier this month, also plans to complete its capital raising in the first quarter of this year. The company received bids totaling about 2.6 billion shillings, above its target of 2 billion shillings, Adembesa said.

About 52% of exchange is owned by the Kenya Bankers Association an UK-backed development agency FSD Africa, he said.

“From a system perspective, we are now doing the testing,” Adembesa said. “We are able to see some trades occurring.”

EABX traces its roots back to 2009, when the Bond Market Association, a lobby group for fund managers, stockbrokers, investment bankers and lenders, decided to establish a self-regulatory organization for the fixed-income market.

EABX will ultimately enable trading of fixed-income securities in almost all of the East African Community member nations. Apart from Kenya, these comprise Tanzania, Uganda, Rwanda, Burundi, Democratic Republic of Congo, South Sudan and Somalia.

— With assistance from Bella Genga

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Capital markets: Absa teams up with professional bodies to boost staff capacity

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Tier one lender Absa Kenya has teamed up with the Nairobi Securities Exchange (NSE) and the Chartered Institute for Securities and Investment (CISI) to enhance knowledge and expertise of the Capital markets amongst its staff.

The initiative aims to improve the value provided to their customer base by actively engaging in various Capital Markets offerings and achieving the best possible outcomes for their corporate and retail clients’ financial objectives, said Absa.

The capacity building programme dubbed Securities Industry Certification programme was designed by the CISI in conjunction with the Capital Markets Authority (CMA) and Financial Sector Deepening Africa (FSD Africa).

The organisers said it offers a broad introduction to the financial services professional sector, with a specific focus on investments from a global perspective.

It for instance focuses on local and international markets and covers key financial principles and products including assets and markets, equities, bonds, derivatives and investment funds.

The programme enables candidates to better engage with their clientele in determining their objectives, risk profile and constraints towards ensuring advice that is suitable and appropriate to each individual client, a key pillar towards ensuring that a practitioner acts as a fiduciary to their clientele.

The NSE, a CISI Accredited Training Partner, has been working with the Absa team to ensure appropriate delivery of the programme and attaining of the learning objectives.

Outgoing Nairobi bourse chief executive Geoffrey Odundo said the the NSE is committed to building and strengthening the capacity of capital market players through partnering with organizations such as the Chartered Institute for Securities and Investments.

“Capacity of market participants is at the heart of robust market infrastructures and we will continue to pursue strategic initiatives to accelerate this agenda,” he said.

Absa Bank said it will continue to beef up the skills of its workers.

“Absa is committed to continue being a market leader in providing differentiated financial services that are tailored to the unique needs of our client base,” said Absa Bank Kenya Director of People and Culture Mumbi Kahindo.

“Capacity building is key towards achieving this commitment, by ensuring that our people are armed with the right knowledge and skills to deliver the best experiences to our customers and stakeholders.”

CMA director of Policy and Market Development, CMA noted that appropriate capacity building will play a critical role towards positioning Kenya as a premier investment destination and an International Financial Center.

“Adoption of international certification standards will enable more diversified products and services in the market, thus ensuring that we remain competitive and attract international flow of funds,” he said.

His comments were echoed CISI EA Regional Representative Kimacia Gitau.

“We are proud to be associated with Absa and the NSE towards building appropriate Knowledge and expertise among the Absa Premier staff and the sector as a whole,” he said.

“We are fully committed to the advancement and dissemination of knowledge in the field of securities and investments within the region.”

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Kenya Green Building Society Hands Over Certificate To Governor Sakaja

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Kenya Green Building Society (KGBS) in collaboration with the Financial Deepening Sector (FSD Africa) and the International Finance Corporation (IFC), handed over the IFC EDGE plaque and certificate to Nairobi Governor Johnson Sakaja in a colourful ceremony in Nairobi today.

The event meant to celebrate the Nairobi City County Governor’s office meeting the IFC EDGE Green Building standard, marking it as the first EDGE certified green government office building in Africa.

The certification follows the conclusion of the United Nations climate conference in Dubai in 2023, which emphasized the pivotal role of cities, local governments, and mayors in combating climate change.

While attending the ceremony, Governor Johnson Sakaja expressed his delight, highlighting two key points.

The Governor emphasized that Africa has the potential to lead the way in designing sustainable spaces to tackle future challenges, given the existing skills, incentives, and capabilities.

Governor Sakaja further expressed the importance of cities and local governments in driving the conversation on climate change and shaping cities that reflect dignity and progress, aligning with the vision of the Africa We Want, with Nairobi as its green capital.

This certification signifies leadership in climate action at the local government level and marks the initial step in Nairobi’s implementation of its Climate Action plan, solidifying its status as the green capital of the world.

Governor Sakaja emphasized that climate change, adaptation, and

environmental management are critical global challenges, but Nairobi stands out for its innovation,

resilience, and leadership.

Nasra Nanda, Chairperson of the Africa Regional Network at World GBC and CEO of KGBS, noted that the certification is not only a victory for Nairobi and other local governments but

also for Kenya and Africa as a whole.

Nasra expressed KGBS’s commitment to leveraging this milestone to advocate for green legislation and to make Nairobi truly the green and resilient capital of Africa, while also unlocking green finance for the city.

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