President William Ruto has turned to the World Bank for emergency financing as Kenya prepares for the potential effects of an El Niño.
Kenya’s move to secure the loan follows the Kenya Meteorological Department’s projection of a likely El Niño signal toward the end of 2026, with climate models indicating a 58–61% probability of El Niño conditions developing in October- December.
Through the lender’s Rapid Response Option, Ruto’s administration will receive approximately KSh51.8 billion within six weeks.
The financing is being arranged under a World Bank emergency mechanism that allows countries to redirect a portion of their undisbursed financing to eligible crises.
Kenya’s request initially followed the surge in global energy prices after the Iran conflict but has since expanded to cover risks associated with El Niño, the regional Ebola outbreak and high energy costs.
According to Reuters, Kenya is expected to receive the funds once the World Bank completes the framework through a Contingency Emergency Response Project (CERP).
“Kenya is expected to receive about $400 million in emergency financing from the World Bank within six weeks to help address risks including an Ebola outbreak in the region and El Niño-related disruptions,” Reuters reported.
This follows the World Bank’s confirmation that Kenya can access rapid financing when a crisis or emergency occurs, including El Niño and the conflict in the Middle East.
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How the El Niño Financing Will Work
The World Bank’s Finances One database shows Kenya had total World Bank Group commitments of about KSh3.65 trillion across 235 projects as of August 31, 2026, and a Bank project portfolio exceeding KSh906 billion, with about KSh388.4 billion disbursed or committed.
Under the World Bank’s Rapid Response Option (RRO), eligible countries can use up to 10 percent of their undisbursed World Bank financing.
“The Rapid Response Option (RRO) allows countries to quickly repurpose and use up to 10% of their undisbursed Bank financing across the portfolios of Investment Lending and Program for Results to address emergency needs during a crisis,” the World Bank directs.
The 10 percent ceiling on undisbursed financing would provide a potential emergency financing envelope of KSh51.8 billion for the country.
Ruto’s World Bank Borrowing
Under President William Ruto, the World Bank approved a KSh 97.09 billion loan comprising a KSh 44.01 billion IBRD loan and KSh 53.08 billion in concessional IDA financing in June 2026,
Earlier, in May 2024, Kenya received KSh 155.34 billion, including a KSh 109.03 billion IBRD loan, KSh 38.84 billion IDA credit, and a KSh 6.47 billion grant.
In May 2023, the World Bank approved KSh 129.45 billion in budget-support financing and policy reforms.
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Government on World Bank Disaster Financing
In May 2024, the World Bank approved a KSh 155.34 billion financing package under the Kenya Fiscal Sustainability and Resilient Growth Development Policy Operation under Ruto’s administration.
The financing package included a KSh 109.03 billion IBRD loan, a KSh 38.84 billion IDA credit, and a KSh 6.47 billion IDA grant.
In June 2018, the World Bank approved a KSh25.89 billion IDA credit for Kenya under the Disaster Risk Management Development Policy Financing with a Catastrophe Deferred Drawdown Option (Cat DDO).
The facility had a 30-year maturity and a five-year grace period, and in December 2019, Kenya drew KSh9.06 billion from the facility following severe flooding caused by extreme rainfall.
A further KSh16.83 billion was drawn in April 2020 to support the country’s response to the COVID-19 pandemic.
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