Latest news with #Chirchir
TimesLIVE
6 days ago
- Business
- TimesLIVE
Kenya taps development banks for airport expansion after ditching Adani deal
Kenya has invited international development lenders to finance a $2bn (R35.41bn) expansion of its main airport in Nairobi nine months after it cancelled a deal with India's Adani Group after its founder was indicted in the US. The East African nation, which is seeking new ways to finance infrastructure projects due to sharply rising debt, will also issue a securitised bond for 175-billion shillings (R23.98bn) locally and abroad next month for road construction, transport minister Davis Chirchir told reporters on Monday. Chirchir said the government had "written" to development agencies "to basically tell them there's an opportunity to build the airport through the Jomo Kenyatta International Airport, borrowing on its balance sheet". The Japan International Cooperation Agency, China Exim, KFW, the European Investment Bank and the African Development Bank had been contacted, Chirchir said. The airport expansion includes a second runway at the airport and a new terminal building. Chirchir said once the funds were secured, the government would then look for a contractor to carry out the work.
Business Insider
6 days ago
- Business
- Business Insider
Kenya turns to AfDB, China Exim for $2b airport expansion after dropping Adani deal
Kenya has invited international development lenders to help finance a $2 billion expansion of Nairobi's Jomo Kenyatta International Airport (JKIA), just nine months after cancelling a deal with India's Adani Group following the indictment of its founder in the United States. Kenya plans a $2 billion expansion of Nairobi's Jomo Kenyatta International Airport. The country seeks funding from international development lenders and agencies. A securitised bond of $1.36 billion for road construction will be issued next month. Kenya has invited international development lenders to help finance a $2 billion expansion of Nairobi's Jomo Kenyatta International Airport (JKIA), just nine months after cancelling a deal with India's Adani Group following the indictment of its founder in the United States. Facing rising public debt and seeking alternative infrastructure financing options, the East African nation will also issue a securitised bond worth 175 billion shillings ($1.36 billion) next month for road construction, Transport Minister Davis Chirchir told reporters. Chirchir said the government had approached several development agencies, offering them the opportunity to finance the airport project by leveraging JKIA's balance sheet. Agencies contacted include the Japan International Cooperation Agency, China Exim Bank, KfW, the European Investment Bank, and the African Development Bank, according to Reuters. The planned expansion will include the construction of a second runway and a new terminal building. Once funding is secured, the government will then seek a contractor to execute the works. Instead of bringing in a concessionaire to build the airport, Kenya will construct it and consider concessioning it later, contrasting with the previous Adani deal, which would have given the group a 30-year operating lease after construction. Adani controversy That arrangement was abandoned last year after U.S. prosecutors charged Gautam Adani and several company executives with allegedly bribing officials to win Indian power contracts and misleading U.S. investors. President Ruto also ordered the termination of a $736 million, 30-year public-private partnership deal signed with an Adani Group subsidiary to build power transmission lines.
Business Recorder
7 days ago
- Business
- Business Recorder
Kenya taps development banks for airport expansion after ditching Adani deal
NAIROBI: Kenya has invited international development lenders to finance a $2 billion expansion of its main airport in Nairobi nine months after it cancelled a deal with India's Adani Group after its founder was indicted in the United States. The East African nation, which is seeking new ways to finance infrastructure projects due to sharply rising debt, will also issue a securitised bond for 175 billion shillings ($1.36 billion) locally and abroad next month for road construction, Transport Minister Davis Chirchir told reporters on Monday. Chirchir said the government had 'written' to development agencies 'to basically tell them there's an opportunity to build the airport through the Jomo Kenyatta International Airport, borrowing on its balance sheet.' The Japan International Cooperation Agency, China Exim, KFW, the European Investment Bank and the African Development Bank had been contacted, Chirchir said. The airport expansion includes a second runway at the airport and a new terminal building. Chirchir said once the funds were secured, the government would then look for a contractor to carry out the work. 'Instead of bringing concessioning to build the airport, we build the airport that we can concession later,' he said, referring to the difference with the previous plan which would have seen Adani carry out the expansion and then handed a 30-year lease to operate the airport. That plan was scrapped last year when U.S. authorities indicted Gautam Adani and several executives, alleging they paid bribes to secure Indian power contracts and misled U.S. investors. The Adani Group has rejected the allegations as 'baseless' and said it was cooperating with legal processes. On the bond issue for road construction, Chirchir said the government would securitise a portion of the fuel levy it charges motorists, adding the bond would be split into two halves for both a local and an offshore listing. It was too early to say in which foreign market the bond would be sold, Chirchir said.
Time of India
7 days ago
- Business
- Time of India
Kenya taps development banks for airport expansion after ditching Adani deal
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel Kenya has invited international development lenders to finance a $2 billion expansion of its main airport in Nairobi nine months after it cancelled a deal with Adani Group after founder Gautam Adani was indicted in the United States The East African nation , which is seeking new ways to finance infrastructure projects due to sharply rising debt, will also issue a securitised bond for 175 billion shillings ($1.36 billion) locally and abroad next month for road construction , Transport Minister Davis Chirchir told reporters on said the government had "written" to development agencies "to basically tell them there's an opportunity to build the airport through the Jomo Kenyatta International Airport, borrowing on its balance sheet."The Japan International Cooperation Agency, China Exim, KFW, the European Investment Bank and the African Development Bank had been contacted, Chirchir airport expansion includes a second runway at the airport and a new terminal building. Chirchir said once the funds were secured, the government would then look for a contractor to carry out the work."Instead of bringing concessioning to build the airport, we build the airport that we can concession later," he said, referring to the difference with the previous plan which would have seen Adani carry out the expansion and then handed a 30-year lease to operate the plan was scrapped last year when U.S. authorities indicted Gautam Adani and several executives, alleging they paid bribes to secure Indian power contracts and misled U.S. Adani Group has rejected the allegations as "baseless" and said it was cooperating with legal the bond issue for road construction, Chirchir said the government would securitise a portion of the fuel levy it charges motorists, adding the bond would be split into two halves for both a local and an offshore was too early to say in which foreign market the bond would be sold, Chirchir said.($1 = 128.9000 Kenyan shillings)
