• The clarification follows weeks of claims online that the Airport had been leased to a foreign entity.
• He insisted that the proposed expansion and modernization of JKIA will be done in strict observance of the Constitution and legal frameworks established by the PPP Act.
Image: OPCS
Prime Cabinet Secretary Musalia Mudavadi now says that the government has not signed any agreements with Adani Airports Holdings Limited over upgrading the Jomo Kenyatta International Airport (JKIA) infrastructure.
In a clarification on the group's Privately Initiated Proposal (PIP), Mudavadi said the proposal by Adani Holdings is currently undergoing due process including reviews and negotiations.
He said this is in compliance with the Public-Private Partnerships (PPP) Act.
The Prime CS insisted that the country's interests would come first in the deal.
"For the avoidance of any doubt, all terms and conditions of the proposed arrangement are subject to negotiation in accordance with the provisions of the PPP Act and no terms have been agreed upon yet," Mudavadi said.
"As and when the terms are agreed, there shall be appropriate safeguards to ensure that Kenya's national interest prevails and that the private party is held fully accountable for the performance of its obligations."
He insisted that the proposed expansion and modernization of JKIA will be done in strict observance of the Constitution and legal frameworks established by the PPP Act.
The Prime CS assured the country that a detailed due diligence investigation will be conducted to determine the suitability of Adani Holdings to be investors in the JKIA upgrade project.
He noted that should the investigations prove them unsuitable, the government will look for other suitable options to undertake the project.
Mudavadi further noted that the government will also ensure all international obligations and regulations are adhered to.
"We assure the public that every step of this project will undergo rigorous review and scrutiny. The Government is committed to maintaining transparency and accountability throughout the process."
Mudavadi said JKIA is 10 years behind its development schedule according to its long-term master plan.
He said this has seen the national asset lag behind regional competitors in terms of quality infrastructure, innovation and technology.
He stated various incidents have brought to light the need to upgrade the airport into a modern airport.
"These include leaking roofs, inadequate aircraft parking bays, outdated passenger terminals and baggage handling system, as well as long waiting times."
Mudavadi said the country is currently facing a tight fiscal space due to the public debt burden and it was therefore prudent to look at the option of Public-Private Partnerships.
He said this is the direction the government took in its Budget Policy Statement 2024, in an effort to have additional infrastructure investments.
The clarification follows weeks of claims online that the Airport had been leased to a foreign entity.