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This paper investigates the role of multi-stakeholder partnerships (MSPs) in supporting the development of enabling conditions for adaptation to climate change among micro, small and medium enterprises (SMEs) in developing countries, with a focus on Kenya. SMEs in developing countries are often highly exposed to climate risk and may face major barriers within their business environment to adapting to the impacts of climate change. Yet, until now, pathways to overcoming these barriers and to implementing action to support SME adaptation have been very sparsely treated within the literature.

Key findings:

• Through action and investment from donor-funded and public sectors, MSPs in Kenya are supporting private sector actors to deliver adaptation resources to small-scale producers, including in remote regions, that would otherwise fall outside of market inclusion.
• However, the analysis shows that MSPs are not easily becoming self-sustaining, as is envisaged of market-based partnership strategies. Dependence on market mechanisms makes MSPs less likely to deliver adaptation support to the poorest, most vulnerable and most geographically remote groups.
• MSPs are currently a donor-led development practice in Kenya and operate outside of the partnerships framework envisioned by Kenya’s PPP Act. This limits opportunities to develop more integrated approaches to overcoming the multiple barriers to SME adaptation through MSPs.