1. Introduction

The British High Commission Nairobi, in alignment with Kenya's National Artificial Intelligence (AI) Strategy 2025–2030, invites eligible individuals and entities to express their interest in participating in the AI Challenge Fund 2025. This initiative aims to support early-stage innovative AI-driven uses cases that address critical socio-economic challenges and contribute to the nation's digital transformation agenda.

2. Background

In March 2025, Kenya unveiled its AI Strategy 2025–2030, positioning the country as a regional leader in AI innovation, research, and commercialization. The strategy emphasizes responsible AI adoption to drive economic growth, job creation, and improved service delivery. It is anchored on three key pillars:

 i. AI Digital Infrastructure: Developing accessible, modern infrastructure for AI innovation.

 ii. Data Ecosystem: Establishing robust data systems to fuel research and decision-making.

 iii. AI Research and Innovation: Advancing localized solutions to address key challenges in sectors such as healthcare, agriculture, and education.

Prior to this, the British High Commission Nairobi had launched the first round of the AI Challenge Fund in the fourth quarter of 2024. The fund has so far supported 11 use cases anchored in fostering partnership between UK and Kenya while championing responsible and ethical pillar for the development, deployment and usage of AI innovations. This second round of the fund is a continuation with alignment to the Kenya AI strategy 2025 – 2030.

3. Objectives of the AI Challenge Fund

The AI Challenge Fund seeks to:

 i. Support the development and scaling of AI solutions with high social and economic impact in line with the Kenya AI Strategy 2025 – 2030.

 ii. Foster partnerships and collaboration between AI innovators, researchers, research institutions, and industry partners between the UK and Kenya.

 iii. Strengthen local AI capacity by providing funding, mentorship, and technical assistance.

 iv. Promote responsible and ethical AI development, deployment and usage.

 v. Foster cross border knowledge exchange between the UK and Kenya.

4. Focus Sectors

In line with Kenya's AI Strategy 2025–2030, the Fund will prioritize projects in the following sectors:

 i. Agriculture & Food Security: Enhancing productivity and sustainability through AI-driven solutions.

 ii. Healthcare & Biotechnology: Improving healthcare access and outcomes using AI technologies.

 iii. Financial Services: Promoting financial inclusion and innovation through AI applications.

 iv. Education & Skills Development: Leveraging AI to enhance learning experiences and outcomes.

 v. Smart Cities & Urban Development: Utilizing AI for efficient urban planning and management.

 vi. Micro, Small and Medium Enterprises (MSMEs): AI tools that support digitization, access to finance, and productivity for MSMEs across sectors.

 vii. Security & Public Safety: Responsible AI use in strengthening national and community security while respecting rights and data privacy.

viii. Public Sector Service Delivery: AI innovations that promote transparency, efficiency, and citizen engagement in government services. These can include Chatbots for government service access, Predictive analytics for policymaking, AI-assisted fraud detection and data management etc.

 ix. Creative Economy & Media: AI-powered tools that support digital content creation, distribution, and monetization in Kenya’s creative industries.

 x. Climate Action & Environmental Sustainability: AI tools for environmental monitoring, climate resilience, and sustainable natural resource management. These can include AI for deforestation tracking and biodiversity conservation, Climate forecasting and adaptation modelling, AI in water and air quality monitoring etc.

5.  Eligibility Criteria

Eligible applicants include:

 i. Individual entrepreneurs, innovators and researchers in Kenya.

 ii. AI startups, SMEs, and entrepreneurs registered and operating in Kenya.

 iii. Research institutions and universities engaged in AI research and development.

 iv. AI-focused innovation hubs and incubators supporting AI talent and solutions.

 v. Consortia comprising multiple stakeholders working collaboratively on AI solutions.

Applicants must demonstrate:

 i. A clear and innovative AI solution addressing a specific challenge in the focus sectors.

 ii. Potential partnership with a UK institution.

 iii. The potential for scalability and sustainability of the proposed solution. This should come out clearly post the funding circle demonstrating a concise plan to scale and sustain the solution.

 iv. Alignment with the objectives of Kenya's AI Strategy 2025–2030.

 v. Commitment to ethical AI practices and data protection standards.

 vi. Within the AI pillars of Data, Algorithms, Compute, Talent and Governance, indicate which one(s) your bid addresses. 

Applicants may request funding within the range of KES 1M – KES 2M, depending on project scope and scalability. Final amounts will be determined based on project strength, budget justification and alignment with strategic priorities.

6. Evaluation Process

Submissions will be evaluated based on:

 i. Innovation and Originality: Novelty of the AI solution and its approach to addressing the identified challenge.

 ii. Impact Potential: The anticipated social and economic benefits of the solution.

 iii. Feasibility: Practicality of implementation, including technical and financial viability.

 iv. Scalability: Potential for the solution to be scaled or replicated in other contexts.

 v. Alignment with National AI Strategy: Consistency with the goals and pillars of Kenya's AI Strategy 2025–2030.

7. Important Dates

 i. EOI Submission Deadline: Thursday 18th May 2025 23:59:00 HRS EAT

 ii. Notification of Shortlisting: Saturday 31st May 2025 

 iii. Submission of Full Proposals (for shortlisted applicants): Sunday 8th June 2025

 iv. Final Selection and Award Notification: Monday 30th June 2025.

8. Contact Information

For inquiries or further information, please contact:

Wilfred Oluoch

The British High Commission Nairobi

Address: Upper Hill Road, P.O. Box 30465-00100, Nairobi

Telephone: +254 20 284 4000 / +254 20 287 3000 / +254 113 105 917

Email: Nairobi.Enquiries@fcdo.gov.uk / Wilfred.Oluoch@fcdo.gov.uk 

Website: British High Commission Nairobi - GOV.UK