Kenya: Chinese Firm Lands JKIA Upgrade Deal After Adani Exit

Nairobi — A Chinese state-backed construction firm has secured a $2.9 billion (Sh375 billion) contract to modernize and expand Nairobi's Jomo Kenyatta International Airport (JKIA), according to Bloomberg.

The award comes nearly two years after a proposed multi-billion-dollar public-private partnership with Adani Group unraveled amid legal challenges, labor unrest and mounting public opposition, forcing the government to seek alternative avenues for upgrading the country's busiest aviation hub.

Bloomberg reported that the Chinese contractor will undertake key expansion works at JKIA, including improvements aimed at easing congestion, boosting passenger handling capacity and strengthening Nairobi's position as East Africa's leading aviation gateway.

The project is expected to revive long-delayed plans to modernize the airport, which has struggled with aging infrastructure despite growing passenger and cargo traffic. JKIA remains a critical hub for regional trade, tourism and logistics, serving as a gateway to East and Central Africa.

The latest development underscores China's continued dominance in Kenya's infrastructure sector, where Chinese firms have played a central role in the construction of roads, railways, ports and energy projects over the past decade.

The airport expansion plans gained renewed urgency after Kenya formally terminated a proposed Sh238 billion modernization agreement with India's Adani Group.

The deal had envisioned the construction of a new terminal and a second runway in exchange for a long-term operating concession, but faced sustained criticism from unions, civil society groups and opposition leaders over transparency concerns and fears of job losses.

The cancellation left uncertainty over how the government would finance and implement the long-awaited upgrade.

Last year, Transport Cabinet Secretary Davis Chirchir said Kenya was exploring funding from international development lenders while considering alternative procurement models for the airport expansion.

"JKIA is a strategic national asset, and its modernization remains a priority for the government."

Bloomberg reported that the deal signals Nairobi's determination to push ahead with airport expansion plans despite the setbacks that followed the collapse of the Adani proposal.

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