UNHCR Transforms Refugee Aid with Direct Cash Payments in Kenya Camps
Kakuma, 15 January 2026
The United Nations refugee agency has revolutionised assistance delivery in Kakuma and Kalobeyei camps by providing direct cash transfers instead of traditional aid distribution. This groundbreaking approach empowers over 200,000 refugees to prioritise their own spending on essentials like food, shelter, and healthcare, restoring dignity and autonomy to displaced populations who can now make decisions based on their individual circumstances.
Five Distinct Cash Grant Programmes Target Specific Needs
UNHCR’s Cash-Based Interventions programme operates five distinct grant schemes designed to address different aspects of refugee life in the camps [1]. The most substantial offering is the Cash for Shelter programme, which provides varying amounts based on household size to help families transition from temporary accommodation to permanent housing. Households with one to five members qualify for one standard shelter, whilst those with six to ten members can receive either one double shelter or two standard shelters, and households with eleven or more members receive both a double shelter and one standard shelter [1]. The programme recognises that larger families require proportionally more space and resources to establish dignified living conditions.
Shelter Construction Costs Reflect Local Market Realities
The financial framework for shelter construction reflects careful assessment of local material costs and construction requirements. A standard shelter constructed with timber costs KES 153,500, whilst the timber and iron sheet combination costs KES 163,840 [1]. Double shelters, designed for larger families, cost KES 280,900 regardless of whether they use timber alone or timber combined with iron sheets [1]. Iron sheets are allocated at KES 1,266 per sheet, with standard shelters requiring between one and eighteen sheets, whilst double shelters need between one and thirty-six sheets depending on the specific design and family requirements [1]. These funds are disbursed in three separate instalments to ensure proper project management and prevent misuse of construction materials.
Banking Partnerships Enable Secure Fund Distribution
The programme operates through strategic partnerships with two major Kenyan financial institutions: Equity Bank serves refugees in Kalobeyei Settlement and some Kakuma residents, whilst KCB Bank handles transactions for the majority of Kakuma refugees [1]. Each bank offers different fee structures that refugees must understand to maximise their assistance. KCB Bank provides the first withdrawal free of charge up to KES 5,000 when conducted at bank agents or over the counter, but subsequent withdrawals incur a KES 100 fee, whilst ATM withdrawals cost KES 30 [1]. Equity Bank charges KES 36 for ATM withdrawals, KES 120 for over-the-counter transactions within Kakuma and Kalobeyei, and KES 180 for intra-branch withdrawals, though households receive an additional KES 30 to cover their first withdrawal costs [1].
Eligibility Requirements Demand Active Participation
Access to cash assistance requires refugees to maintain active status in UNHCR’s database through regular participation in community programmes. Refugees must attend Proof of Life exercises and General Food Distribution events to remain eligible, as inactive individuals cannot receive CBI payments [1]. Household composition changes only become valid for payment calculations after updates are recorded in UNHCR’s database, emphasising the importance of keeping personal information current [1]. The programme includes specific provisions for vulnerable populations: women of reproductive age between eleven and fifty years receive additional support, with sanitary pad assistance calculated at KES 100 for an eight-pack [1]. Child-headed households under eighteen cannot receive cash directly but may receive hygiene items as in-kind assistance, whilst unaccompanied minors receive support through their foster parents [1]. Bank account inactivity exceeding six months, combined with failure to attend required community events, can result in UNHCR reversing assistance amounts, making regular engagement essential for continued support.