Covid-19: Kenya gets additional Sh7.8bn grant from EU

By Sarah Nanjala, NAIROBI Kenya

Kenya is set to benefit from an additional Sh7.8 billion shilling grant from the European Union (EU) that will go towards addressing the socio-economic impact of Covid-19 in the country.

Head of the EU Delegation in Kenya, Ambassador Simon Mordue.

The funding, which adds to an earlier Sh8.4 billion, will go towards helping Kenyans at risk of hunger and further strengthen State measures against spread of

While making the announcement in a statement sent to newsrooms, EU Ambassador to Kenya Simon Mordue noted that the funding indicates the EU's support to Kenya at a time when the virus has so far infected 2,862 people and killed another 85.

“The European Union stands with Kenya during this challenging period and we recognise the severe impact this crisis is having on people’s lives. Through these support programmes, we are making a real difference to local communities across the country as well as in Nairobi’s informal settlements who are most affected by the outbreak,” he said.

Ambassador Mordue further noted that the support programme was part of an overall 'Team Europe' response that has seen the EU and its member States working closely to support Kenya during the pandemic.

So far, the European Union has contributed more than Sh35 billion to the country’s Covid-19 response measures, with other EU member States having contributed a further Sh3.3 billion for the same.

Last month, the EU announced a Sh2.4 billion funding from European countries to assist in the fight against locusts as well as support affected farmers. 

Out of the Sh7.8 billion to be disbursed to Kenya, Sh3.6 billion will be allocated towards mobilising resources in containing the spread and impact of Covid-19 in the health, social and economic sectors. The EU noted that this will be provided through budgetary support to the government.

Sh1.2 billion will be directed towards vulnerable families and individuals in informal settlements through monthly cash transfers. However, the EU notes that careful measures will be put in place to ensure there are no dubious recipients and that health services are provided to the most vulnerable people.

As the fund is geared towards mitigating the economic impact of the pandemic, the Union has allocated between Sh2.4 billion to Sh3 billion to supporting small and medium sized enterprises (SMEs) through providing access to finance.

“This will provide SMEs with short-term working capital, which is essential for them to continue operating and keep Kenyans in jobs; later this will stimulate investments for the post-Covid-19 recovery,” the statement read in part.

The European Union further noted that the remaining Sh600 million will be allocated directly to the Safe Trade Emergency Facility, stating that it remains a critical supply chain for trade and will ensure food security and access to critically required medicines. 

“At the same time the support will make the borders and the ports safer to counter the spread of Covid-19.” – Daily Nation