Kenya is planning to establish a bank that will  only handle investments in green projects , state-owned Kenya Broadcasting Corporation reported, citing National Treasury and Economic Planning Cabinet Secretary Njuguna Ndung’u.

Under the draft green fiscal incentives policy, the bank will be responsible for developing credit guarantee instruments and schemes to enhance access to finance for green investments.

Kenya requires at least 2.4 trillion  shillings to implement green projects by 2030, according to the Green Economy Strategy and Implementation  Plan.

“The policy seeks to identify and prioritise the implementation of a coherent suite of green fiscal reforms that will allow the country to exploit the opportunities of continuing a low emission development path,” Ndung’u  said.

The proposed bank is expected to eliminate investment risks in the sector and supplement exchequer investment in priority projects as Kenya targets to cut greenhouse emissions by at least 32 % within the next seven years.

Moreover, the government aims to set up the green investment register, which acts as a database of green investments in the country , the report said.

(Editing by Seban Scaria