The Kenyan government has pushed back against rumors claiming that Jomo Kenyatta International Airport (JKIA) has been sold to an Indian investor.
In a strong rebuttal, government spokesperson Isaac Mwaura clarified that the deal is a public-private partnership aimed at transforming the aging airport into a world-class facility, not a sale.
JKIA, built in 1978 and managed by the Kenya Airports Authority (KAA), has deteriorated over the last 45 years, and Mwaura emphasized the urgent need for modernization.
“Jomo Kenyatta International Airport (JKIA), a key national asset constructed in 1978 and managed by the Kenya Airports Authority (KAA), has seen significant infrastructure deterioration over the past 45 years,” Mwaura said.
According to Mwaura, the partnership with Indian conglomerate Adani Group Holdings is intended to overhaul the airport’s infrastructure through a rigorous process that prioritizes transparency and accountability.
Mwaura outlined several reasons for the upgrade, citing the airport’s struggle to accommodate rising passenger numbers, which surged to 8.6 million last year, surpassing its 7.5 million capacity.
He further pointed out that JKIA’s current state, including leaking roofs, power outages, and outdated terminals, is incompatible with Nairobi’s status as a global hub for international organizations like the UN, making modernization essential.
“This is inconsistent with Nairobi’s role as a major hub for multilateral and international organizations, similar to cities like Geneva and New York, and is further strained by increased economic activity, tourism growth, and the new Visa-Free regime,” Mwaura added.
The revamp will focus on building a new passenger terminal, upgrading existing facilities, constructing a second runway, and enhancing cargo operations.
These improvements, according to Mwaura, are part of the National Aviation Policy and JKIA’s Medium-Term Investment Plan, both of which have Cabinet approval.
Adani Group has proposed a $750 million investment in a 30-year concession to fund these projects, with plans to build a new runway, terminals, aprons, and taxiways in a build-operate-transfer model.
Concerns about the Adani Group
However, the deal has drawn criticism, particularly from the Kenya Aviation Workers’ Union (KAWU), due to concerns over potential increases in airport charges and a fixed concession fee to KAA.
It is however not the airport workers only who are concerned but also a section of Kenyans are a worried lot.
In 2023, Hindenburg, a New York-based short-seller research company, released a report detailing organized stock manipulation and accounting fraud by Adani group firms.
The Adani Group was also adversely mentioned by the Autstralian parliament in a report titled ‘A short history of corruption, destruction and criminal activity‘.
The report documented the Adani Group’s history of corruption, bribery, and human rights abuses across the world. It also added that the group is currently facing further criminal investigations from their activities.
Another report by the Guardian reveals that the Adani family may have spent years discreetly acquiring stock in the Adani Group’s companies during its meteoric rise to become one of India’s largest and most powerful businesses, the Guardian reported citing offshore financial records the British daily has seen.
The paper referred to newly disclosed documents and said they suggest the family secretly invested hundreds of millions of dollars into the Indian stock market buying its own shares.
And it doesn’t stop there. Adani Group founder Gautam Adani was India’s richest and the world’s third wealthiest person worth over $120bn before New York financial research firm Hindenburg’s report in January accused the conglomerate of pulling off the “largest con in corporate history”.
The government, however, remains firm that the Adani Group is a good partner and that this partnership will enhance JKIA’s capacity and competitiveness, promising rigorous oversight at every stage of the process.
