President William Ruto has announced that the expansion of Jomo Kenyatta International Airport (JKIA) will be the first major project to be financed by the National Infrastructure Fund (NIF).
The Head of State made the announcement on Monday, March 9, after signing the National Infrastructure Fund Bill into law during a ceremony at State House in Nairobi.
“Today, I am pleased to announce that the expansion of Jomo Kenyatta International Airport will be the first major project financed through this new model of financing under the National Infrastructure Fund,” President Ruto said.
He noted that between Ksh15 billion and Ksh20 billion from the proceeds of the privatisation of Kenya Pipeline Company (KPC) will be used as seed money in the JKIA expansion.
“Between 15 and 20 billion shillings from the National Infrastructure Fund, derived from the proceeds of the Kenya Pipeline IPO, will be used as seed money for the project,” Ruto announced.
The President urged institutional investors to take advantage of NF, emphasising that pension schemes, insurance firms, and other investment groups could play a central role in financing infrastructure development through the fund.
NIF is expected to mobilise over Ksh5 trillion in the next 10 years for large-scale infrastructure development projects in the country.
The funds are expected to be utilized for key projects across sectors, including transport, energy, water, irrigation, and digital connectivity.
NIF has been structured as a body corporate and can own property, enter into contracts, and invest in projects, but is barred from borrowing or taking credit against its balance sheet.
NIF will be managed by two entities, a governing council and a board, which will ensure the fund works seamlessly.
The council will comprise the Cabinet Secretary for the National Treasury, the Governor of the Central Bank of Kenya, the Attorney General, and six other members who are not public officers.
