Kenya secures major boost in climate-resilient dairy production under USD 358 Million DaIMA program

Kenya has secured a major win in climate action after being selected as one of the key beneficiaries of a new six-year regional program aimed at transforming the dairy industry into a low-emission, climate-resilient sector.

The Dairy Interventions for Mitigation and Adaptation (DaIMA) program, spearheaded by the International Fund for Agricultural Development (IFAD), comes with USD 150 million in co-financing from the Green Climate Fund (GCF), representing a total investment of USD 358 million.

The initiative was unveiled at the 9th International Greenhouse Gas and Animal Agriculture (GGAA) Conference in Nairobi, and is set to directly benefit 2.5 million rural residents in Kenya, Uganda, Tanzania, and Rwanda, with an additional 15.4 million people indirectly reached along the dairy value chain.

According to IFAD’s Regional Director for East and Southern Africa, Sara Mbago, DaIMA aims to “transform the backbone of East Africa’s dairy sector” by combining policy reform, innovation, and green investment. She noted that the programme would help smallholder farmers adapt to climate change while cutting harmful emissions and opening new economic opportunities.

Once fully operational, DaIMA is projected to increase milk production by 34 percent and reduce greenhouse gas emissions by 2.1 million tonnes of CO₂ equivalent over 20 years.

The programme’s approach integrates improved veterinary and extension services, better breeding and feeding systems, and the restoration of degraded lands. It will also establish a Green Dairy Financing Facility to enhance access to climate-friendly loans for farmers, cooperatives, and small and medium enterprises.

The initiative brings together several international partners, including the International Livestock Research Institute (ILRI), FAO, USAID Food and Agriculture, and the Global Dairy Platform. ILRI’s Mazingira Centre will provide technical assistance and monitor emission data across the four countries.

ILRI Director General Appolinaire Djikeng hailed the move as a “milestone for East Africa’s dairy sector,” saying it aligns with the goals of the Paris Agreement by scaling up sustainable, low-emission livestock systems.

With the dairy industry central to food security and rural livelihoods, DaIMA offers a blueprint for how East Africa can strengthen productivity, reduce emissions, and build resilience amid worsening climate challenges such as heat stress and prolonged droughts.