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Deputy President Kithure Kindiki has hailed the newly enacted National Infrastructure Fund Act as a transformative step toward accelerating Kenya’s economic growth and long-term development.
Speaking on Monday during a United Democratic Alliance (UDA) local leaders’ meeting in Mombasa, Kindiki said the fund will serve as an “entirely Kenyan” financing vehicle designed to unlock large-scale investments in infrastructure.
According to the Deputy President, the fund will be capitalised through proceeds from privatisation and government divestiture. He explained that every shilling generated from these proceeds is expected to leverage up to ten shillings from private sector investors, significantly expanding the country’s capacity to finance critical projects.
Kindiki noted that the funds will be directed toward commercially viable infrastructure initiatives capable of generating economic returns while improving national productivity.
His remarks came hours after President William Ruto signed the National Infrastructure Fund Bill into law at State House Nairobi. The President said the fund would help close the country’s infrastructure financing gap, currently estimated at about $4 billion (approximately KSh516 billion) annually.
Ruto indicated that the fund is expected to mobilise up to KSh5 trillion to support major development projects across the country. These include roads, railways, ports, airports, logistics corridors, irrigation systems, water storage facilities and reliable energy infrastructure aimed at powering industry and economic expansion.
Kindiki outlined several flagship projects expected to benefit from the fund, including the extension of the standard gauge railway to the Uganda border, construction of a new international airport, and expansion of key seaports.
The Deputy President also revealed plans to construct 28,000 kilometres of new roads across the country, including 2,500 kilometres of dual carriageways to ease transport and boost trade.
In the energy sector, the government aims to add 10,000 megawatts of electricity to support industrial growth and improve power reliability
Water and agricultural infrastructure will also be a major focus. Kindiki said the plan includes building 50 large dams, 200 medium-sized dams and 1,000 small dams to strengthen irrigation and support food production.
He added that the National Infrastructure Fund Act, together with the proposed Sovereign Wealth Fund Act, will help “recalibrate” Kenya’s economic future and ensure sustainable development for both current and future generations.
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