A significant increase in low carbon investments is required to limit global warming to less than 2° C. For example, about USD 900 billion should be invested annually in the energy sector up to 2030 to meet this target. Climate finance provides opportunities for investments in climate-smart projects. Such investments could enhance Africa’s adaptive capacity, food security and economic growth. Nonetheless, Africa lags behind in the access and utilisation of these funds. Climate finance readiness plays a major role in enhancing access to these funds. This paper analyses policy and institutional frameworks that would enhance Kenya’s readiness for climate finance. Publicly available scholarly articles, government and development partners reports were profiled using the following key words: Kenya, climate change, climate mitigation and climate adaptation. Then the keywords; climate finance, climate policy and legislation were used to identify the most relevant publications. These were reviewed to assess Kenya’s readiness for climate finance. The study finds that considerable efforts have been made to enhance Kenya’s readiness for climate finance as evidenced by the formulation of climate-related policies, legislation and the creation of institutions tasked to address climate change. Nonetheless, some policy areas could be enhanced. For instance, the role of the private sector could be better recognised and supported. This study provides an important reference for the government, development partners and private sector involved in negotiations and decision making on climate financing in Kenya.

A general problem in insurance economics is to establish how insurance demand is affected by the size of the loss suffered in the previous period. This problem lays out the underlying objective of this study, which examines how insurance demand changes post-catastrophes, and how it can be theoretically modelled. We present a basic theoretic model to examine how post-accident insurance demand differs from post no-accident insurance demand. Our study first explores post-loss insurance demand from a two-period perspective and then examines how utility curvature parameters affect insurance demand across two periods. In our simulation results, it is observed that the optimal insurance demand with or without intertemporal consideration is the same in the absence of consumption smoothing mechanism. In addition, the experience of having an accident increases insurance purchases in the next period compared to when there was no accident in the previous period. In view of our findings, insurance stakeholders can develop strategies designed to improve post-loss outcomes for insurance consumers that include adequate coverage both after a loss and following a no-loss event by better understanding how insurance demand changes post-loss. We note that our proposition is limiting, but this limitation offers an interesting area of exploration. More studies are thus encouraged to model explicitly the utility derived from the wealth in the second period. In addition, further research is needed into the effects of consumption decisions and how to solve the bivariate optimisation problem that results.