National Infrastructure Fund targets pension funds for projects

National Infrastructure Fund Chief Executive James Mworia. [File, Standard]

The push to unlock the financial potential of private capital and pension funds for national development programmes has gained momentum following a meeting between players in the sector and the National Infrastructure Fund (NIF) Chief Executive James Mworia.

Speaking during the meeting, Mworia described NIF as a historic milestone in the country’s development agenda.

“This is a historic moment for Kenya. The private sector has an opportunity to participate directly in the country’s national development agenda by mobilising and directing capital towards infrastructure projects that can deliver sustainable economic and social value,” he said.

He noted that the scale of Kenya’s infrastructure requirements means that the NIF cannot finance the country’s projects on its own, making partnerships with institutional investors and other private capital providers essential.

The meeting was convened by Dr Hosea Kili, the President of the Association of Pension Trustees and Administrators of Kenya (APTAK) and marked the Pack Hunters Investments Consortium inaugural stakeholder meeting.

Pack Hunters Investments Consortium is a collection of pension funds who share the interest of diversifying investments into capital intensive infrastructure projects.

The meeting sought to explore opportunities to mobilise private capital for both private sector and public sector infrastructure development.

It also provided an opportunity for industry players to gain a deeper understanding of the NIF, its mandate and the role that private sector capital can play alongside public resources in financing strategic infrastructure projects.

“The opportunity before us is to bring together the expertise within our industry to identify and structure projects that are genuinely investable. Through the Pack Hunters Consortium, we can create the collaboration needed to move bankable projects from concept to financing and ultimately to implementation,” said Kili.

The meeting also brought together representatives from the Kenya Association of Stock Brokers and Investment Banks (KASIB), Fund Managers Association, Association of Retirement Benefit Schemes (ARBS), Nairobi Securities Exchange (NSE), Custodians, Islamic Finance, pension schemes, the regulators CMA and RBA, capital markets players, Insurance Companies, and other stakeholders across the financial services.

“Kenya has built significant pools of domestic savings, and our capital markets have a role to play in connecting those savings to investments that can shape the country’s future. Infrastructure allows us to deepen that connection while creating assets, businesses and opportunities that will continue to serve generations to come,” said Tom Mulwa, Chairman of the NSE.