Government Dismisses Claims of JKIA Sale, Unveils $750M Modernization Deal.

Government spokesman Isaac Mwaura speaking during a press briefing at KICC, Nairobi on September 5, 2024.

By Peace Muthoka.

The Kenyan government has firmly rejected claims that Jomo Kenyatta International Airport (JKIA) has been sold to an Indian investor, clarifying that the ongoing deal is a public-private partnership aimed at upgrading the aging facility. Speaking to the media, Government Spokesman Isaac Mwaura stated that the partnership is designed to “modernize JKIA and restore its global competitiveness.”

Mwaura emphasized that JKIA, which was constructed in 1978, has deteriorated significantly over the past 45 years. He acknowledged that the airport’s infrastructure has struggled to keep up with increasing passenger numbers and cargo traffic. “The airport’s capacity is being outpaced by demand, with last year’s 8.6 million passengers exceeding its designed capacity of 7.5 million,” Mwaura pointed out.

He further explained that Nairobi’s growing role as a hub for international organizations, alongside increased economic activity and tourism, has strained JKIA’s capacity. “We need to align the airport’s capabilities with its role as a major gateway, much like cities such as Geneva or New York,” he said.

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Mwaura listed several issues that underscore the need for the modernization, including leaking roofs, frequent power outages, and outdated terminals. These problems, he said, have led to “international embarrassment” and frequent operational disruptions at the airport.

To address these challenges, the government has decided to collaborate with Indian-based Adani Group Holdings, which has submitted a proposal for a 30-year concession arrangement. The deal will see Adani invest $750 million in a “build-operate-transfer” model, which includes the construction of a second runway, a new passenger terminal, and improved cargo facilities.

The government’s modernization plan is aligned with the National Aviation Policy, which was approved by the Cabinet. According to Mwaura, this overhaul is crucial to keeping JKIA competitive in the region. He added that transparency and accountability would be ensured throughout the process, with public-private partnerships playing a key role.

Despite some pushback from groups such as the Kenya Aviation Workers’ Union (KAWU), which has raised concerns about increased airport fees and the long-term impact of the concession, Mwaura stressed that the government is committed to rigorous oversight. “We are focused on ensuring that this partnership benefits the public and elevates JKIA’s status as a premier African airport,” he concluded.

With this bold plan, the government hopes to bring JKIA in line with global standards, ensuring it remains a key asset for Kenya’s economy and a vital hub for international travel.

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