Kenya to raise Sh129.2 billion from climate-linked loans

Kenya aims to raise Sh129.2 billion ($1 billion) through sustainability-linked instruments, including loans and bonds, over the next two years. The National Treasury will issue two equal tranches starting September 2026, the first a sustainability-linked loan (SLL) and the second likely a sustainability-linked bond (SLB). The World Bank will provide $125 million in credit enhancement and the OPEC Fund $75 million. The financing could be up to two percentage points below market rates if climate targets are met.