Kenya Secures Financing Partners for $1.2 Billion Nairobi Airport Expansion
Kenya has appointed the Trade and Development Bank (TDB) and Africa Finance Corporation (AFC) to arrange financing for a $1.2 billion expansion of Jomo Kenyatta International Airport in Nairobi. The project, estimated at a maximum of 154.2 billion Kenyan shillings, aims to nearly triple the airport's annual passenger handling capacity from 7.5 million to 22 million, with construction expected to take three years. Funding will be structured around airport-based revenue streams, with the two arrangers tasked with drawing in development finance institutions and commercial banks.
The expansion comes after Kenya was forced to pause the project in 2024 following the cancellation of a deal with India's Adani Group after its founder's indictment in the United States. The works will include rehabilitation of existing runways and aprons alongside a new passenger terminal. The move reflects Kenya's determination to defend its position as East Africa's leading aviation hub at a time when Ethiopia and Rwanda are investing heavily in new airport infrastructure to attract airlines and travellers. An international competitive bidding process for the construction contract has already been completed, though the government has yet to officially confirm media reports that China Communication Construction Company has been awarded the contract.
Source: Reuters
