Kenya is facing a significant environmental and economic crisis, with a new report revealing that the nation loses approximately Sh534 billion annually due to deforestation and forest degradation. The “Forest Status Report 2024,” released on Tuesday, highlights that the ongoing destruction of forests costs the economy at least three percent of its gross domestic product (GDP) each year.

Extent of Forest Loss

The report indicates that Kenya loses an average of 84,716 hectares (209,337 acres) of forest each year to deforestation, with an additional 14,934 hectares (36,902 acres) suffering degradation. This substantial loss of forest cover not only threatens biodiversity but also undermines essential ecosystem services that forests provide.

Economic Implications

The economic impact of deforestation is profound. Forests contribute significantly to various sectors, including agriculture, energy, and tourism. The loss of forest cover leads to reduced agricultural productivity due to soil erosion, decreased water quality, and increased vulnerability to climate change. A 2012 report by the United Nations Environment Programme (UNEP) highlighted that deforestation deprived Kenya’s economy of 5.8 billion shillings in 2010 and 6.6 billion shillings in 2009, far outstripping the roughly 1.3 billion shillings injected from forestry and logging each year.

unep.org

Drivers of Deforestation

Several factors contribute to the high rates of deforestation and forest degradation in Kenya:

• Rapid Population Growth: Increasing population exerts pressure on forested areas for settlement and agriculture.
• Encroachment: Unauthorized settlement and farming within forest reserves lead to significant forest loss.
• Poverty: Economic hardships drive communities to exploit forest resources unsustainably for livelihoods.
• Illegal Logging: Unregulated timber harvesting depletes forest cover.
• Overgrazing: Excessive livestock grazing in forest areas hinders natural regeneration.
• Weak Land Tenure Systems: Ambiguous land ownership and usage rights result in mismanagement and overexploitation of forest resources.
• Climate Change-Related Disasters: Extreme weather events, such as droughts and floods, exacerbate forest degradation.

These drivers are manifested through various dynamics, including geographical aspects, land use practices, sociocultural activities, and political and governance mechanisms.

Impact on Water Resources

Forests play a crucial role in maintaining water cycles and quality. The destruction of forests has led to significant impacts on Kenya’s water resources. For instance, Lake Naivasha, located west of Nairobi, relies on water from the Aberdare Range. The forests in these mountains trap moisture, provide cloud cover, and create rainfall that feeds the lake. High levels of deforestation in the area have interrupted this natural cycle, leading to decreased water levels in Lake Naivasha. This scarcity of water has directly impacted the flora and fauna of the region and the local communities that depend on the lake.

en.wikipedia.org

Biodiversity Loss

Kenya is classified among the ten mega-biodiverse nations globally, boasting over 35,000 species of flora and fauna. This includes 25,000 animal species (21,575 of which are insects), 7,000 plant species (577 or 8% endemic), and 2,000 fungi and bacteria. The ongoing deforestation threatens this rich biodiversity, leading to habitat loss and species decline.

peopledaily.digital

Health Implications

Deforestation has also been linked to health issues, particularly the increased transmission of malaria. In the western Kenyan highlands, deforestation has led to higher temperatures and altered mosquito habitats, increasing the likelihood of malaria transmission. Studies have shown that deforested areas in this region have experienced temperature increases of 0.5°C in 10 months, doubling the rates of malaria mosquitoes.

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New Report Reveals Kenya’s Annual Loss of Sh534 Billion Due to Deforestation and Forest Degradation

By Maureen Kinyanjui

February 13, 2025

Kenya is facing a significant environmental and economic crisis, with a new report revealing that the nation loses approximately Sh534 billion annually due to deforestation and forest degradation. The Forest Status Report 2024, released on Tuesday, highlights that the ongoing destruction of forests costs the economy at least three percent of its gross domestic product (GDP) each year.

Extent of Forest Loss

The report indicates that Kenya loses an average of 84,716 hectares (209,337 acres) of forest each year to deforestation, with an additional 14,934 hectares (36,902 acres) suffering degradation. This substantial loss of forest cover not only threatens biodiversity but also undermines essential ecosystem services that forests provide.

Economic Implications

The economic impact of deforestation is profound. Forests contribute significantly to various sectors, including agriculture, energy, and tourism. The loss of forest cover leads to reduced agricultural productivity due to soil erosion, decreased water quality, and increased vulnerability to climate change. A previous report by the United Nations Environment Programme (UNEP) highlighted that deforestation deprived Kenya’s economy of billions of shillings annually, far outstripping the revenue generated from forestry and logging activities.

Furthermore, the destruction of forests directly impacts communities that rely on forest resources for their livelihoods. Many rural households depend on firewood, timber, and non-timber forest products for income and sustenance. With deforestation accelerating, these communities face economic hardships, pushing them further into poverty.

Drivers of Deforestation

Several factors contribute to the high rates of deforestation and forest degradation in Kenya:

• Rapid Population Growth – The increasing population exerts pressure on forested areas for settlement and agriculture. As urban areas expand, deforestation rates rise due to the demand for land.
• Encroachment – Unauthorized settlements and farming within forest reserves have significantly reduced forest cover. Land clearing for subsistence farming is one of the leading causes of deforestation.
• Poverty – Economic hardships drive communities to exploit forest resources unsustainably for survival. Illegal logging, charcoal burning, and hunting are common activities that degrade forests.
• Illegal Logging – Unregulated timber harvesting for commercial purposes depletes forest resources at an unsustainable rate. Illegal trade in forest products has continued to rise despite government efforts to curb it.
• Overgrazing – Excessive livestock grazing in forest areas hinders natural regeneration and weakens soil stability, leading to desertification in some areas.
• Weak Land Tenure Systems – Ambiguous land ownership and usage rights result in mismanagement and overexploitation of forest resources. Many landowners have converted forested areas into agricultural land, reducing green cover.
• Climate Change-Related Disasters – Extreme weather events, such as prolonged droughts and severe floods, exacerbate forest degradation. The increased frequency of wildfires has further contributed to forest loss.

These drivers manifest through various dynamics, including geographical aspects, land use practices, sociocultural activities, and political and governance mechanisms.

Impact on Water Resources

Forests play a crucial role in maintaining water cycles and quality. The destruction of forests has led to significant impacts on Kenya’s water resources. For instance, Lake Naivasha, located west of Nairobi, relies on water from the Aberdare Range. The forests in these mountains trap moisture, provide cloud cover, and create rainfall that feeds the lake. High levels of deforestation in the area have interrupted this natural cycle, leading to decreased water levels in Lake Naivasha. This scarcity of water has directly impacted the flora and fauna of the region, as well as the local communities that depend on the lake.

Additionally, forest loss has affected key water catchment areas such as the Mau Forest Complex, Mt. Kenya Forest, and Cherangany Hills. These forests act as water towers, supplying water to rivers and reservoirs that millions of Kenyans depend on for drinking, irrigation, and industrial use. With continued deforestation, water shortages are becoming more severe, leading to conflicts over access to this vital resource.

Biodiversity Loss

Kenya is classified among the ten mega-biodiverse nations globally, boasting over 35,000 species of flora and fauna. This includes 25,000 animal species (21,575 of which are insects), 7,000 plant species (577 or 8% endemic), and 2,000 fungi and bacteria. The ongoing deforestation threatens this rich biodiversity, leading to habitat loss and species decline.

Wildlife populations in protected and unprotected forests have been negatively affected by deforestation. Large mammals, such as elephants and leopards, struggle to find food and shelter due to shrinking forest areas. Smaller species, including primates and birds, are also at risk, with some facing extinction due to habitat destruction.

Health Implications

Deforestation has also been linked to health issues, particularly the increased transmission of diseases such as malaria. In the western Kenyan highlands, deforestation has led to higher temperatures and altered mosquito habitats, increasing the likelihood of malaria transmission. Studies have shown that deforested areas in this region have experienced temperature increases of 0.5°C over ten months, doubling the rates of malaria mosquitoes.

Additionally, air pollution resulting from deforestation-related activities such as charcoal burning has been associated with respiratory illnesses, especially among children and the elderly. Forest degradation also reduces access to medicinal plants traditionally used by many communities for treating various ailments.

Government and Community Initiatives

In response to the alarming rate of forest destruction, the Kenyan government has implemented several measures to combat deforestation and promote reforestation.

• Tree Planting Initiative – The government has set an ambitious target of planting 15 billion trees by 2032 as part of the Forest Ecosystem Landscape Restoration Strategy. This initiative aims to restore 10.6 million hectares of degraded forest land and increase Kenya’s tree cover from 12.13% to 30%.
• Ban on Logging – In recent years, the government imposed a ban on logging in public forests to curb illegal activities and allow forest regeneration. While the ban has faced opposition from the timber industry, it has helped protect vulnerable forest areas.
• Community Involvement – Local communities have been encouraged to participate in forest conservation through initiatives such as community forest associations. These associations allow communities to benefit from sustainable forest management while protecting resources.
• Use of Alternative Energy Sources – The government and environmental organizations have promoted the use of clean energy alternatives, such as biogas and solar cookers, to reduce dependence on firewood and charcoal.
• Stronger Law Enforcement – Authorities have intensified efforts to crack down on illegal logging and encroachment. Increased surveillance, stricter penalties, and enhanced forest monitoring systems have been put in place to deter illegal activities.

The Role of Private Sector and International Organizations

The private sector and international organizations have also played a crucial role in forest conservation. Several multinational corporations have committed to sustainable sourcing of timber and paper products. Environmental NGOs, such as the Green Belt Movement and the World Wide Fund for Nature (WWF), continue to work with communities to promote afforestation and reforestation efforts.

The United Nations and other international bodies have supported Kenya in achieving its climate goals by funding reforestation projects, promoting sustainable land use, and enhancing climate resilience through nature-based solutions.

Conclusion

The findings of the Forest Status Report 2024 highlight the urgent need for action to combat deforestation and forest degradation in Kenya. With the country losing Sh534 billion annually, the economic, environmental, and social impacts of deforestation are too significant to ignore.

To secure Kenya’s forests for future generations, there must be stronger collaboration between the government, local communities, private sector stakeholders, and international partners. By implementing sustainable forest management practices, enforcing conservation laws, and raising awareness about the importance of forests, Kenya can mitigate the negative impacts of deforestation and work towards a greener, more resilient future.

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photo source: Google

By: Montel Kamau

Serrari Financial Analyst

14th February, 2025