Kenya is facing a critical juncture in urban development, with rapid growth necessitating a shift towards sustainable housing finance to address climate change and social equity. The building sector accounts for a significant portion of global greenhouse gas emissions, highlighting the urgency for innovative solutions like green mortgages to create inclusive and climate-resilient cities.

• The building sector is responsible for an estimated 21 per cent of all global greenhouse gas emissions and uses 40 per cent of all energy produced.
• Kenya's urban population stands at 31.2 per cent, with 60 per cent residing in informal settlements, according to the Kenya National Bureau of Statistics (KNBS).
• Green mortgages are presented as a promising tool, encouraging the construction and purchase of homes meeting high environmental standards, potentially reducing household utility bills by as much as 30 per cent.
• Kenya requires an estimated $62 billion (Sh7.998 trillion) by 2030 to meet its climate targets, with only 13 per cent expected from domestic sources.
• The article features insights from Director, Mortgage Business Caroline Wanjeri of KCB Bank and CEO Nasra Nanda of the Kenya Green Building Society.