The Kenya Innovative Finance Facility for Water (KIFFWA) programme kicked off in January 2016 with three different working groups setting up both KIFFWA and its first initiative: the Kenya Pooled Water Fund (KPWF).
Investment in first initiative starts
The KPWF is a pooled financing facility that aims to provide Kenyan WSPs access to long tenor local currency finance by unlocking the local capital market in Kenya for their drinking water and sanitation infrastructure projects.
Meeting the Kenyan Water Sector
Staffed with dedicated water and financial professionals, a total of approximately 30 missions to Kenya took place, jointly forming the driver for the results achieved so far. KIFFWA and KPWF were presented at many meeting including the African Water Association conference in Nairobi in February 2016 and the Kenya Water Week in November 2016.
Creating the enabling environment
The Embassy of the Kingdom of the Netherlands in Kenya (EKN) has played a fundamental role for both KIFFWA and KPWF to generate the needed political and institutional support. This has especially been important for establishing the KPWF, as credibility and trust determine the success or failure of attracting the needed institutional investors to buy future KPWF bonds.
The lion’s share of activities realized in the first three quarters of 2016 have been the preparation of two business plans (KIFFWA and KPWF); both of which were approved in November 2016 by EKN in Kenya.
October 2016 – 30 June 2017
Establishment and staff recruitment
Anticipating on this approval, the working groups already laid the foundations for establishing the KIFFWA and KPWF (legal) entities/independent organizations and the first steps were made to recruit high quality, seasoned professionals to staff both KIFFWA and the KPWF as soon as the respective organizations run independently.
Throughout since 1 July 2016
Pipeline of initiatives
The current KIFFWA pipeline is dynamic and a thorough selection of a long list of 30 initiatives has led to tentatively selecting 6 promising initiatives, in addition to the KPWF and the 6 selected WSPs that will borrow from the KPWF. Various sub-sectors are represented in the KIFFWA pipeline, ranging from drinking water to desalination, (water for) agriculture and (green) port development.
Throughout since 1 July 2016
Cooperation with development partners
Discussions have been held for the mobilization of development partners, for potential cooperation on either KIFFWA organisation level, or on the level of the initiatives that KIFFWA invests in.
Spreading the message
For purposes of consultation and to foster goodwill and promote KIFFWA and the KPWF, representatives of the teams have attended meetings in 8 different national and international publications, and has been (re)presented at 9 meetings and conferences, taking place in Hungary, Kenya, Sweden and The Netherlands. The launch of the local organizations is anticipated to take place late 2017 or early 2018.