Inside USAID’s sh. 84 Billion into Kenya's Projects

Nairobi, 

Friday, 7 February, 2025 

McCreadie Andias 

The United States Agency for International Development (USAID) disbursed a staggering Sh84 billion to over 230 institutions in Kenya for the fiscal year 2024. 

The funds, which supported a wide range of development projects, have been channeled into humanitarian aid, healthcare, education, agriculture, governance, and economic empowerment.

At the top of the list is the World Food Program, receiving Sh15.6 billion, reinforcing its critical role in combating food insecurity in Kenya. 

Other major beneficiaries include Enterprises - US Redacted (Sh8.3 billion) and Agriculture Cooperative Development (Sh5 billion), emphasizing the strategic focus on agricultural sustainability and enterprise development.

The allocations paint a picture of USAID's diverse investment across various sectors and what will be the effects amidst the suspension of its activities. 

Health & Humanitarian Aid

With significant funds directed towards healthcare and humanitarian relief, several leading organizations have benefited:

Catholic Relief Services (Sh2.7 billion)

World Vision (Sh2.3 billion)

PATH (Sh2.2 billion)

Liverpool VCT, Care and Treatment (Sh2.1 billion)

United Nations Children Fund (UNICEF) (Sh1.6 billion)

Amref Health Africa (Sh1.5 billion)

Kenya Red Cross Society (Sh1.1 billion)

This sector also includes crucial funding for Jhpiego Corporation (Sh480 million) and Population Services Kenya (Sh194 million), both dedicated to reproductive and public health programs.

Education & Research

Kenyan universities and research institutions also secured a significant share, supporting higher education, innovation, and policy development. Among the beneficiaries:

University of Nairobi (Sh1.2 billion)

Moi Teaching & Referral Hospital (Sh2 billion)

Moi University (Sh589 million)

Kenyatta University (Sh395 million)

Strathmore University (Sh384 million)

Jaramogi Oginga Odinga University of Science and Technology (Sh461 million)

American academic institutions also played a role, with University System of Maryland and University of California, San Francisco receiving substantial grants.

Governance, Transparency & Development

A key area of USAID's funding involves strengthening democracy, governance, and transparency, with organizations such as:

Transparency International (Sh104 million)

Electoral Law and Governance Institute for Africa (Sh50 million)

Public International Law and Policy Group (Sh14 million)

Consortium for Elections and Political Processes (Sh271 million)

Agriculture & Economic Development

A significant chunk of the funding is directed toward agriculture, economic growth, and cooperative development, with major beneficiaries including:

Agriculture Cooperative Development (Sh5 billion)

Millennium Water Alliance (Sh205 million)

Farm Input Promotions Africa Ltd (Sh15 million)

Environmental Conservation & Wildlife Protection

With conservation efforts increasingly crucial for Kenya’s biodiversity, USAID has supported organizations such as:

Northern Rangelands Trust (Sh363 million)

International Fund for Animal Welfare (Sh172 million)

Kenya Wildlife Conservancies (Sh88 million)

Maasai Mara Wildlife Conservancies Association (Sh3.2 million)

Security, Infrastructure & Logistics

Funds have also been allocated to organizations specializing in security, crisis response, and infrastructure development, including:

Crisis Response Company (Sh89 million)

Constellis (Sh48 million)

Sovana Global Logistics (Sh7 million)

Private Sector Involvement

Several private sector entities and consulting firms have secured funding, highlighting the role of businesses in development:

Deloitte (Sh1.2 billion)

Boston Consulting Group (Sh133 million)

PricewaterhouseCoopers (PwC) (Sh11 million)

Cargill, Inc. (Sh209 million)

Government Partnerships

Beyond NGOs and private sector beneficiaries, the Government of Kenya also received Sh602 million, with further allocations going to state-backed institutions such as the Kenya Medical Training College (Sh153 million).

After the USAID shutdown what steps will be taken?

The Sh84 billion that USAID distributed in Kenya during 2024 faces an uncertain fate since the agency decided to close its operations. 

The United States Agency for International Development departure after disbursement of $84 billion to Kenya creates major funding issues in healthcare as well as food security and education and governance and conservation programs which depended on U.S. support.

Local and international organizations need to search for new funding sources because the Kenyan government experiences rising pressure to cover the financial gap. 

The withdrawal of USAID’s oversight power creates doubts about project sustainability without their financial backing and technical guidance.

The future development strategy of Kenya will depend heavily on forming strategic alliances with different financial partners including private investors and emerging global donors and multilateral agencies. 

Kenya now faces an important decision point between fast adaptation to preserve its development trajectory or it might need to accept backwards progress across vital social and economic domains.