Kenya has announced an ambitious plan to transform Kakuma, one of Africa’s largest and oldest refugee camps, into a self-sustaining city, shifting its focus from long-term aid dependence to economic integration and resilience.
Established in 1992, Kakuma now shelters roughly 300,000 refugees from countries including South Sudan, Ethiopia and Congo. The camp has long depended on international aid, and recent tensions have risen over dwindling food rations. Under the new initiative, Kenya and its humanitarian partners aim to redesign Kakuma as a municipality eventually overseen by local government, part of a broader effort to incorporate refugees into national systems and reduce aid reliance.
Despite a 2021 law granting refugees limited rights to work, most remain unable to formally join the labor market or gain citizenship. Harsh environmental conditions prevent farming and livestock rearing, leaving entrepreneurship as one of the few viable paths to self-reliance. However, high-interest loans and lack of documentation remain major hurdles.
Organizations like Inkomoko, which offers training and low-interest loans, are helping some refugees build thriving businesses. Among them is Adele Mubalama, who fled Congo and launched a successful tailoring business during the pandemic, now employing 26 people. Another, Mesfin Getahun, grew a small shop into Kakuma’s largest retail chain with support from Inkomoko.
Still, experts question whether Kakuma has the infrastructure, water resources, and market connectivity to become a fully functioning city. Critics argue the shift toward self-reliance overlooks fundamental rights like freedom of movement and permanent legal status, essential for refugees to access broader opportunities. Without addressing these issues, they warn, economic initiatives may fall short of delivering long-term transformation.