The ramifications of aid cuts on refugee lives: Case of the Differentiated Assistance (DA) model and the Shirika Plan in Kenya

International support has failed to keep pace with the growing numbers of refugees and internally displaced persons, thus creating a financing gap between their needs and available resources. The recent US withdrawal from funding development and humanitarian programmes has only compounded this financing gap which has existed for more than a decade. In response to this, the international community - through Agenda 2030, the Grand Bargain, the 2016 New York Declaration, and the Comprehensive Refugee Response Framework (CRRF) - has advocated for a shift from seeing refugees as emergencies to integrating them into the host countries' developmental agenda. In Kenya, these policy proposals are most recently being implemented through the Shirika Plan, the Differentiated Assistance (DA) model, and development plans of refugee-hosting counties such as Turkana and Garissa. First, the Shirika Plan is a government-led initiative that was proclaimed in 2023 to realise the socio-economic inclusion of refugees within the local context in line with the progressive provisions of the Refugee Act of 2021. Implementation of this policy is yet to begin as it is pegged on elusive donor funding. Second, the DA model is led by the office of the United Nations High Commissioner for Refugees (UNHCR) and the World Food Programme (WFP) and is aligned with the Shirika Plan. The preparatory activities for DA were undertaken throughout 2024 and implementation commenced in August 2025. DA seeks to increase refugee self-reliance through livelihood interventions and providing support based on the specific needs and capabilities of different refugee households as pposed to the previous blanket support that was based on refugee registration status. However, implementation has so far only focussed on reducing aid, without corresponding investment in self-reliance measures. DA and the Shirika Plan are framed in government and international circles as solutions for addressing funding shortfalls and fostering refugee integration by supporting self-reliance. However, there has been little progress in enhancing refugee self-reliance. At the same time, aid cuts are implemented based on a needs-categorisation of refugee households that proceeds without adequate background information. The lack of alternative livelihoods has exacerbated vulnerabilities and has sparked protests in refugee camps. Emerging evidence points to negative coping mechanisms, including higher school drop-out rates; reported cases of youths joining criminal religious groups; increased conflicts at family level; and rising cases of women becoming sex workers. This Policy Brief highlights the emerging ramifications of implementing DA that is anchored in the provisions contained in the Shirika Plan. The Brief also goes further to suggest recommendations for action to the government of Kenya and the international community. Key policy messages: * There is a need to enhance synergy between UNHCR and the Kenyan government such that the state implements the Shirika Plan alongside DA without premising its implementation on donor aid. * UNHCR needs to obtain more extensive household economic data and involve refugees in deciding who is most vulnerable to more accurately disaggregate refugee households into appropriate categories. * The Kenyan government and international actors need to closely monitor and address potential nega-tive implications of implementing DA and the Shirika Plan.