The Kakuma Kalobeyei Challenge Fund (KKCF), a five-year program of the International Finance Corporation (IFC), is designed to unlock the economic potential of refugees and their hosts, in Turkana County by increasing private sector investments. It aims at enabling better economic integration and self-reliance of displaced populations and their host community. The program is implemented by the Africa Enterprise Challenge Fund (AECF), Turkana County Government, and the United Nations High Commissioner for Refugees (UNHCR).
Competitive Business Challenge
KKCF’s competitive business challenge is being managed by AECF. The competition will support established companies, social enterprises, and local entrepreneurs in implementing commercially viable and sustainable businesses that have the potential to raise incomes, provide goods and services, create jobs and/or improve living standards in both the camp and host community.
There are three separate windows – private sector window, social enterprise window, and local enterprise development window.
Private sector companies and social enterprises will compete for performance-based grants, which also require co-financing from the companies.
For micro and small enterprises from the Kakuma- Kalobeyei areas, grants and technical assistance are provided by KKCF, with the goal to ‘graduate’ these businesses so they can access expansion resources from microfinance organisations and other financial institutions.
The initiative’s overarching objectives are to:
Attract new private businesses and social enterprises to the Kakuma-Kalobeyei areas, which should lead to better employment opportunities for refugees and the host community, increase access to goods and services, and potentially reduce prices;
Provide opportunities to scale-up the operations of private companies and social enterprises already present in the area;
Develop and grow refugee and host community-owned businesses and create opportunities for women and youth;
Reduce the time and cost of obtaining specific business permits, licenses, and registrations in Turkana West by streamlining procedures.
KKCF aims to address the following development challenges in the Kakuma and Kalobeyei areas:
Limited access to capital which has prevented the locals from opening their own businesses.
Lack of access to reliable, affordable energy.
Lack of clean water for domestic use and poor sanitation.
Lack of access to childcare services.
By 2024, the program will have:
Facilitated the entry of 10 companies into the Kakuma area;
Supported the expansion of five companies already present in the area;
Provided grants to 50 local micros, small and medium enterprises and offered capacity building and business model technical support to 70 local micro, small and medium enterprises; and
Supported 1,500 jobs and improved access to essential goods and services for 50,000 people.