Kenya's Shirika Plan Marks First Anniversary Amid Implementation Challenges
Kakuma, 28 March 2026
Kenya’s ambitious Shirika Plan celebrates one year since launch, hosting over 836,000 refugees whilst grappling with significant barriers to meaningful integration. Despite policy frameworks allowing refugee work permits, only 100 are issued annually against a population exceeding 836,000. A coalition of 31 organisations has proposed issuing 500 work permits in 2026 as a pilot programme, highlighting that 64% of refugee women remain excluded from formal employment. The plan’s success hinges on overcoming bureaucratic obstacles that trap skilled refugees in a cycle where employers demand existing permits whilst permits require job offers first.
Funding Cuts Threaten Shirika Plan Progress
The Shirika Plan, launched on 26 March 2025, was designed to transform Kenya’s refugee response by shifting from encampment policies to meaningful inclusion and recognising refugees as active contributors to society [1]. However, cuts to humanitarian aid by the United States and other governments have worsened the vulnerability of refugees and host communities, reducing food assistance and straining essential services [1]. These funding reductions in the humanitarian sector are accelerating the need for scalable, economically viable solutions that benefit both refugees and host communities [2]. The timing of these cuts poses a critical threat to Kenya’s inclusion initiatives and Ethiopia’s Makatet Roadmap, both of which represent significant shifts toward socioeconomic inclusion and self-reliance [3].
Bureaucratic Barriers Trap Skilled Workers
Despite Kenya’s 2021 Refugee Act allowing refugees to apply for Class M work permits to engage in employment or business, they face significant barriers including complex, slow, and expensive application processes [2]. The documentation requirements assume access to systems that refugees are locked out of, whilst timelines stretch from 3 to 24 months [4]. A particularly problematic hiring paradox exists where employers wait for a work permit before offering employment, whilst the permit application requires a job offer first [2][4]. These bureaucratic obstacles often result in ‘No merit’ rejections, creating what organisations describe as a ‘vicious cycle’ [2]. The strict encampment policy further hinders movement, whilst employer demands for existing permits perpetuate this systemic barrier [2].
Coalition Proposes Structured Pilot Programme
On 22 March 2026, SHOFCO and 31 organisations released a comprehensive white paper titled ‘Unlocking Refugee Work Authorization in Kenya: A Practical Framework for Economic Inclusion, Institutional Alignment, and National Growth’ [4]. The coalition proposes a structured pilot programme to issue 500 refugee work permits in 2026, described as ‘modest in scale, significant in what it would prove’ [4]. This initiative addresses the stark disparity between current capacity and demand—work permits are currently issued to roughly 100 refugees per year against a registered refugee population exceeding 836,000 [4]. SHOFCO, working with partners including the Mastercard Foundation, International Rescue Committee, and Konexio Africa, has already supported over 10,000 refugees through technical skills training, business mentorship, and seed grants [4].
Economic Potential Remains Untapped
The economic implications of current restrictions are substantial, with 64% of refugee women remaining outside the labour force [4]. Many refugees arrive with professional experience, university degrees, and language skills including French and Arabic alongside Swahili and English—genuine assets in an economy driven by Business Process Outsourcing, digital services, and regional trade [4]. The camps at Dadaab and Kakuma have existed for over 30 years, leading to refugees being warehoused with limited self-reliance and economic mobility due to restrictions on movement, employment, and access to services [1]. As Firdaus Ali Bashee, USCRI Kenya Country Director, emphasised: ‘The Shirika Plan represents a historic shift from encampment to inclusion, but for hundreds of thousands of refugees, daily realities have yet to change’ [1]. The success of Kenya’s ambitious 11-year vision to move refugees from camps to integrated settlements fundamentally depends on ensuring the pathway into formal work becomes real and accessible [4].