Funding

Project Funding
The total project cost is KES. 4.3 billion (USS$43M) from a World Bank Loan facility (ELRP: P173702).
Flow of Funds
The flow of funds will involve two Designated Accounts (DA) one for the county activities (DA-B) and national activities (DA-A). The MOALF&C will trigger transfer of funds from DA-A through the County Revenue Fund (CRF) accounts to the dedicated County Project Accounts (CPAs), which shall be opened to receive and disburse project proceeds at the county level. CPAs will be opened by each participating county at the CBK or in financial institutions acceptable to the World Bank/IDA. Beneficiary communities will open community bank accounts (CAs) at commercial banks or in financial institutions acceptable to the World Bank/IDA to which community investment funds will directly be disbursed from the CPAs once they have met the eligibility criteria. For the cash transfer(CT) / cash for work (CfW) facility, the funds will be managed by the CPCU and guided by eligibility criteria and with clear disbursement modalities. In administration of cash transfer(CT) / cash for work (CfW) facility, the CPCU will work in collaboration with the CDDCs and the PMCs.

Financing Mechanism:
The flow of funds will involve two Designated Accounts (DA) one for the county activities (DA-B) and national activities (DA-A). The MOALF&C will trigger transfer of funds from DA-A through the County Revenue Fund (CRF) accounts to the dedicated County Project Accounts (CPAs), which shall be opened to receive and disburse project proceeds at the county level. CPAs will be opened by each participating county at the CBK or in financial institutions acceptable to the World Bank/IDA. Beneficiary communities will open community bank accounts (CAs) at commercial banks or in financial institutions acceptable to the World Bank/IDA to which community investment funds will directly be disbursed from the CPAs once they have met the eligibility criteria. For the cash transfer(CT) / cash for work (CfW) facility, the funds will be managed by the CPCU and guided by eligibility criteria and with clear disbursement modalities. Counties can utilize the full CARA Allocation after Accounting for their Expenditures on a Quarterly Basis on SOE (Statement of Expenditure) and IFR (Interim Financial Returns). Flow of project funds is documented in the Project Financial Management Manual (FMM) and Participation Agreements to be signed between the MoALF&C and the County Governments.