Kenya - COVID-19 Emergency Response Support Program (ERSP) (AFDB-P-KE-K00-007)

Countries
  • Kenya
Where the impacts of the investment may be experienced.
Financial Institutions
  • African Development Bank (AFDB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Bank Risk Rating
U
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
May 22, 2020
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
Government of Kenya
The holder of the loan, grant, or other investment.
Sectors
  • Education and Health
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 112.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Currency conversion note:
Bank reported U.A 152,589,971.27
Converted using 2020-05-22 exchange rate.
Loan Amount (USD)
$ 1,112.16 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Primary Source

Original disclosure @ AFDB website

Updated in EWS Jun 15, 2020


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Project Description

The proposed loan to the Republic of Kenya for 188 million Euros is to finance the COVID-19 Emergency Response Support Program in Kenya. 


The project is designed as a Crisis Response Budget Support. The program results from a request of the Government of Kenya dated 17th April 2020 and was appraised on 18 to 20 April 2020. The design of the program considered good practice principles on conditionality. The purpose of the program is to support the Government of Kenya’s efforts to respond to the COVID-19 pandemic and to mitigate its economic and social impacts. The operational policy objectives of the program are:(i) to strengthen the health system for an effective response to the pandemic;(ii) to strengthen economic resilience against the pandemic; and (iii) enhance ability by the poor and the vulnerable to cope with the impact of the pandemic. The expected outcomes of the program are:(i) enhanced capacity to conduct targeted testing and containment of COVID-19; (ii) increase in the number of Small and Medium Enterprises (SMEs)) protected; and (iii) increase in the percentage of the vulnerable population(including female) covered by social safety nets.

 


The goal of the ERSP operation is to support the Government of Kenya’s efforts to respond to the COVID-19 pandemic and to mitigate its economic and social impacts.Consistent with the Government’s plan to address the crisis, the operational policy objectives of the program are to; (i) strengthen the health system for an effective response; (ii) strengthen economic resilience against the pandemic; and (ii) enhance ability by the poor and the vulnerable to cope with the impact of the pandemic. The program consists of three broad mutually reinforcing components namely: (i) strengthening the health system for an effective response, (ii) strengthening economic resilience against COVID-19 shocks; and (iii) enhancing social protection against COVID-19 impact. The three components reinforce each other in that component 1 seeks to contain the spread of the virus and lay a foundation for return to normalcy for businesses and livelihoods; component 2 focuses on economic resilience by supporting fiscal measures to keep businesses afloat during and after the pandemic; while component 3 seeks to protect the vulnerable not to dispose their assets and slide into poverty.

 

 
Investment Description
  • African Development Bank (AFDB)
Contact Information

AfDB Staff

KOMA Baboucarr

b.koma@afdb.org

 

ACCOUNTABILITY MECHANISM OF AfDB

The Independent Review Mechanism (IRM), which is administered by the Compliance Review and Mediation Unit (CRMU), is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an African Development Bank (AfDB)-financed project. If you submit a complaint to the IRM, it may assist you by either seeking to address your problems by facilitating a dispute resolution dialogue between you and those implementing the project and/or investigating whether the AfDB complied with its policies to prevent environmental and social harms. You can submit a complaint electronically by emailing crmuinfo@afdb.org, b.kargougou@afdb.org, b.fall@afdb.org, and/or s.toure@afdb.org. You can learn more about the IRM and how to file a complaint at https://www.afdb.org/en/independent-review-mechanism/.