Policy Brief Title: Operationalizing the Child Welfare Fund under Section 12(7) of the Children Act, 2022 - The How and the Benefit

Policy Brief Title: Operationalizing the Child Welfare Fund under Section 12(7) of the Children Act, 2022

Date: 5/20/2025 Prepared by: African Institute for Children Studies (AICS) Target Audience: National Treasury, State Department for Children Services, NCCS, County Governments, and Child Protection Stakeholders

Executive Summary

The Children Act, 2022 establishes a Child Welfare Fund under Section 12(7), envisioned as a sustainable financing mechanism to strengthen community-based child protection services across Kenya. Despite its inclusion in the law, the Fund remains non-operational. This brief advocates for the urgent activation and financing of the Fund, with a proposed allocation of Kshs. 5 billion by 2030, beginning with Kshs. 1 billion annually, to support localized case management for children at risk.

The Policy Issue

Kenya continues to face persistent child protection challenges, including rising numbers of street-connected children, violence against children, and inadequate case management at community level. Section 12(7) of the Children Act, 2022 mandates the establishment of a Child Welfare Fund to support welfare interventions for vulnerable children. However, the lack of operationalization and funding has stalled progress in community-led responses and burdened statutory child protection systems.

Proposed Policy Actions

1. Annual Treasury Allocation Allocate Kshs. 1 billion annually beginning FY 2025/26, targeting a total of Kshs. 5 billion by 2030 to support the operationalization of the Fund.

2. Targeted Use of the Fund Prioritize disbursement of capitation funds to licensed Community-Based Organizations (CBOs) to: Identify and respond to child protection cases (abuse, violence, neglect, exploitation). Document cases in the Child Protection Information Management System (CPIMS). Notify the area Children Officer and coordinate follow-up action. Provide temporary, safe alternative care, including through registered Emergency Foster Parents.

3. Performance-Based Reimbursements Allow CBOs to submit claims for reimbursement from the Fund after verified case management activities.

4. Oversight and Quality Assurance The National Council for Children’s Services (NCCS) to license and accredit CBOs. The Directorate of Children Services (DCS) to monitor quality, accountability, and reporting.

5. County-Level Management and Resource Mobilization Establish county-level Fund management units for decentralized coordination. Create avenues for private sector and individual contributions to the Fund through a centralized donation and matching platform, encouraging local ownership.

Justification for Urgency

• Escalating risks to children: Substance abuse, violence, neglect, and economic vulnerability are on the rise, especially among children and youth.

• System overload: Government child protection officers face overwhelming caseloads with limited resources.

• Unmet demand for services: Community-level actors are best placed to respond, but lack funding support.

• Prevention and leadership development: Investing in local solutions now will reduce long-term rehabilitation costs and build the next generation of local child protection leaders.

Conclusion and Call to Action

The Child Welfare Fund holds transformative potential for Kenya’s child protection system. Its operationalization must be fast-tracked and adequately resourced. A community-based case management model, anchored in public-private partnerships and local capacity, can significantly improve outcomes for vulnerable children. We urge the National Treasury and relevant stakeholders to prioritize this fund in the next budget cycle and begin implementation by June 2025.

Contact Information Samuel Munyuwiny Executive Director | African Institute for Children Studies

By Munyuwiny Samuel | +254 723 359783