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KAA Reveals Deals in Which Indian-based Adani will Operate JKIA

Adani Group is an Indian multinational conglomerate, headquartered in Ahmedabad. Founded by Gautam Adani in 1988 as a commodity trading business.

July 24, 2024
614 1 minute read
KAA Reveals Deals in Which Indian-based Adani will Operate JKIA

The Kenya Airports Authority (KAA) has addressed the public outcry and protests regarding the potential involvement of a private company in the operations of Jomo Kenyatta International Airport (JKIA).

JKIA is a national asset built in 1978, and according to KAA, the airport has been facing challenges due to its aging infrastructure, posing a threat to Kenya’s regional competitiveness.

Who is Adani?

According to KAA Acting Managing Director and CEO Henry Ogoye, the state received an investment proposal from Indian-based, Adani Airport Holdings Limited.

Adani Group is an Indian multinational conglomerate, headquartered in Ahmedabad. Founded by Gautam Adani in 1988 as a commodity trading business.

The Group’s businesses include sea and airport management, electricity generation and transmission, mining, natural gas, food, weapons, and infrastructure.

More than 60% of its revenue is derived from coal-related businesses.

Also Read: Kenya Airports Authority Responds to JKIA Privatization Concerns Amid Protests

At its 2022 peak, Adani was the largest Indian conglomerate, with a US$206 billion market capitalization.

#OccupyJKIA Protests

The revelation comes after thousands of Kenyans unsuccessfully marched to the airport on July 23, demanding clarity on the situation.

Ogoye said the Cabinet approved the JKIA Medium Term Investment Plan, which includes significant upgrades to the passenger terminal building, runway, taxiway, and apron.

“Given the current fiscal constraints, the necessary investment cannot be met without private funding,” said Ogoye.

Adani Airport Holdings Limited will bd a major airport operator, under the Public Private Partnerships Act 2021.

The proposal includes the construction of a new passenger terminal building, a second runway, and the refurbishment of existing facilities at JKIA.

Ogoye said the proposal will undergo rigorous technical, financial, and legal reviews, along with the necessary due processes in compliance with the Public Private Partnerships Act 2021.

This includes stakeholder engagement, approval from the National Treasury, clearance from the Attorney General, and final approval from the Cabinet.

 

July 24, 2024
614 1 minute read
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Lawrence Baraza

Lawrence Baraza is a dynamic journalist currently overseeing content at Metropol TV Digital. With a keen focus on business news and analytics, Lawrence guides the platform in delivering insightful, data-driven content that empowers its audience to make informed decisions. Lawrence’s commitment to quality and his ability to anticipate market trends make him a key figure in the digital media landscape. His work continues to shape the way business news is consumed, making a significant impact in the field.

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