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World Bank warns aid cuts to refugees could deepen crisis in Kenya

Refugee numbers in Kenya rise rapidly even as humanitarian funding falls, raising alarm from World Bank and partners

Sharon Busuru by Sharon Busuru
February 23, 2026
in News
Reading Time: 2 mins read
World Bank says Kenya Is shielding state firms from market realities

The World Bank has raised alarm over declining humanitarian aid for refugees in Kenya, warning that cuts to assistance come at a time when the refugee population is growing rapidly and needs are increasingly urgent. The warning highlights rising hardship, food insecurity, and psychosocial stress among displaced populations across major camps and urban settings.

Kenya hosts an estimated 835,793 registered refugees and asylum seekers, with the majority living in major camps such as Dadaab and Kakuma/Kalobeyei or within urban communities. The World Bank analysis found that as funding from traditional donors and humanitarian agencies has waned, more refugee families have turned to extreme survival strategies to cope with insufficient food supplies and limited access to basic services.

The reduction in aid has come alongside rising food prices and repeated cuts to food rations distributed in camps. For many households, the proportion of families relying on measures such as reducing food consumption or purchasing food on credit has increased significantly. In camps, the share of families taking these measures rose from 49 percent to 64 percent between 2022 and 2024, reflecting both diminished assistance and continued economic pressures.

World Bank researchers also highlighted the widening impact of aid reductions on psychosocial wellbeing. Symptoms of depression and anxiety were found to be rising among refugees, undermining individuals’ ability to engage in income generating activities, access services and respond to shocks. Camps that previously reported lower levels of mental health stress, such as Dadaab, now show increases comparable to those in Turkana and Nairobi settings.

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Other humanitarian agencies have also voiced concerns about the consequences of shrinking assistance. The World Food Programme (WFP) warned in May 2025 that food rations for refugees could be cut to historically low levels without additional funding, with in kind assistance projected to fall to just 28 percent of daily needs and cash transfers suspended unless urgent contributions were received. Humanitarian observers reported that the loss of cash assistance programmes such as Bamba Chakula, which previously helped refugees buy supplementary nutritious foods, has weakened livelihoods and exacerbated economic vulnerability in camps.

The aid downturn has occurred at a time of heightened displacement, with conflict, climate variability and regional instability driving increased refugee arrivals from neighbouring countries. Kenya’s refugee population has risen by more than 70 percent in recent years due to crises in Somalia, South Sudan and the Democratic Republic of the Congo, placing extra strain on services and host communities alike.

Local and international actors, including the government and civil society, have called for scaled up and predictable funding to avert deepening humanitarian needs. The United Nations High Commissioner for Refugees has emphasised Kenya’s continued role in protecting refugees, while urging greater global support to sustain essential services such as healthcare, education, water and sanitation.

Without renewed donor commitments and strategic support, both refugees and host communities may face escalating hardship, undermining resilience and slowing progress towards socio-economic integration.

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Sharon Busuru

Sharon Busuru

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