Economy

Kenya Airports Authority Responds to JKIA Privatization Concerns Amid Protests

According to KAA, JKIA has been facing challenges due to its aging infrastructure, posing a threat to Kenya's regional competitiveness.

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).

The statement, issued by Acting Managing Director and CEO Henry Ogoye, comes after thousands of Kenyans unsuccessfully marched to the airport on July 23, demanding clarity on the situation.

According to Ogoye, JKIA, a strategic national asset built in 1978, has been facing challenges due to its aging infrastructure, posing a threat to Kenya’s regional competitiveness.

In response, 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.

Also Read: KRA Collects over Ksh.49 billion at JKIA

In this context, KAA has received an investment proposal from Adani Airport Holdings Limited, 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.

“I wish to assure our staff that no jobs are at risk,” Ogoye stated. “I also wish to assure the airport business community and operators that the expanded facility will create additional business opportunities and attendant benefits.”

Prime Cabinet Secretary Musalia Mudavadi appeared before Members of Parliament on July 23, affirming that JKIA remains a public asset and cannot be sold to private equity.

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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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