Nearly $5 billion in annual remittances from Kenyans abroad is being redirected to support climate solutions through a new program that channels diaspora savings into renewable energy, water access, climate‑smart agriculture, and green housing projects.
According to the World Council of Credit Unions (WOCCU), the initiative creates a direct pathway for diaspora funds to finance community‑based climate projects via savings and credit cooperatives (SACCOs).
The program was developed by WOCCU and the Irish League of Credit Unions International Development Foundation (ILCU Foundation), with support from the African Confederation of Cooperative Savings and Credit Associations (ACCOSCA) and funding from the Climate Finance Fund hosted by the European Climate Foundation.
WOCCU led the technical design and implementation, enabling participating SACCOs to launch climate‑focused deposit products tailored to diaspora members.
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More than three million Kenyans living abroad send billions of dollars home each year, primarily to support families and local economies. However, WOCCU noted that these remittances have historically lacked dedicated channels for investment in climate resilience. The pilot program addresses this gap by allowing diaspora members to invest directly in climate‑linked projects in their home communities.
Stima, K‑Unity, and Kenya USA Diaspora SACCOs have already rolled out climate deposit products. These accounts offer competitive interest rates alongside transparent reporting on how funds are deployed and the impact generated. Early investments are financing solar energy systems, irrigation and water infrastructure, sustainable agriculture, and green housing initiatives.
“This model demonstrates how credit unions connect global capital to local climate solutions in a way that is both accessible and impactful,” said Eileen Miamidian, Technical Director of Inclusive Financial Services at WOCCU. She emphasised that diaspora savings represent a significant opportunity to fund the investments communities need most.
Alan Moore, CEO of the ILCU Foundation, added: “This initiative reflects the very best of what the global credit union movement stands for. With the support of Irish credit unions, the ILCU Foundation is proud to help connect diaspora communities with meaningful climate action at home, turning everyday savings into a force for resilience, sustainability and shared prosperity.”
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The pilot, which is expected to be implemented between July 2025 and April 2026, is designed to test and refine a scalable model. By July 2026, participating SACCOs are expected to open more than 200 new accounts, with early demand showing strong interest among diaspora members. WOCCU’s technical work included market research across diaspora corridors, product design, feasibility analysis, and capacity building to strengthen governance, climate impact tracking, and operational systems. Partnerships with remittance platforms and digital onboarding providers were also facilitated to improve access for diaspora investors.
By Masaki Enock
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