The number of expatriates employed in the Public Benefits Organisation (PBO) sector in Kenya, which includes non-governmental organisations (NGOs) and charity firms, has dropped to a five-year low, defying an overall growth in the total workforce.
New data shows that the number of expatriate employees working in the PBO sector in Kenya has dropped by 81.7 percent over five years to 924 in the 2024/2025 financial year, a significant change from 2020/21 when 5,040 foreigners were working for NGOs and charity firms.
The sharp drop in the size of the expatriate workforce comes amid funding challenges for projects in Kenya.
For example, data by the Public Benefits Organisations Regulatory Authority shows that in 2024/25, support for Kenyan-based projects declined by Sh6.8billion, while those in other countries increased by Sh48.5 billion.
‘PBOs should focus on expanding local fundraising efforts. This includes strengthening partnerships with the private sector and building a strong culture of local philanthropy to enhance financial sustainability s,’ the regulator said.
Kenya’s PBO sector is still reeling from shocks due to President Donald Trump’s policy shifts. Since Trump returned for a second four-year term in January 2025, Kenya has been rocked by a series of back-to-back policy changes, including a freeze on USAid programme funding.
For example, big-ticket contracts worth more than Sh108 billion were terminated by the US government in Kenya in March 2025, even as President Trump’s administration moved to cut back on overseas aid support under USAid programmes in line with his ‘America First’ agenda.
The jobs of expatriates also stand threatened by a proposed law that partly seeks to reform diplomatic privileges by requiring international agencies to reserve two-thirds of jobs for locals.
The Privileges and Immunities (Amendment) Bill 2025, if approved by Parliament, will require international charities and development agencies to reserve at least two-thirds of their jobs for Kenyan staff, while limiting legal immunities previously enjoyed by foreign organisations.
The regulator said that funding for the PBO sector in Kenya remained concentrated in North America in the 2024/25 fiscal year at Sh93.11 billion, followed by Europe (Sh62.33 billion), Africa (Sh41.54 billion), Asia (Sh4.75 billion), Oceania (Sh1.27 billion), and South America (Sh0.071 billion).
‘The largest source of funding came from PBOs, CBOs (Community-Based Organisations), foundations, and trusts, which contributed Sh 60.89 billion, accounting for 24.68 percent of all funds received by the PBOs. Affiliate PBOs that operate as part of larger networks or international affiliations, channeling resources to local implementing partners, accounted for Sh59.30 billion, representing 24.03percent of total funding,’ it said.
Foreign government agencies contributed Sh46.32 billion (18.78 percent) of total inflows into PBOs, while UN agencies contributed Sh42.44 billion ( 17.2 percent) of all funds received. Records further showed that self-generated income contributed Sh13.97 billion (5.66percent) of total funding.
Research and academic institutions contributed Sh8.25 billion (3.34 percent). Individual donors gave Sh6.11 billion, accounting for 2.48percent of the total funding.