Kenya joins Asian Infrastructure Investment Bank with new development funding
National
By
David Njaaga
| Sep 03, 2024
Kenya has officially joined the Asian Infrastructure Investment Bank (AIIB) as a fully paid member.
President William Ruto said the move will enable the country to access concessional funding for various development projects, including infrastructure, climate change efforts, connectivity, regional cooperation and technology-enabled projects.
Ruto announced on Tuesday, September 3, after meeting AIIB President and Board of Directors Chairman Jin Liqun at the bank's headquarters in Beijing, China.
He said Kenya's membership in the AIIB will play a crucial role in advancing the country's development agenda.
"The membership will enable Kenya to access concessional funding for infrastructure, climate change efforts, connectivity, regional cooperation and technology-enabled projects," said Ruto.
The Asian Infrastructure Investment Bank, established in 2016, is a multilateral development institution with 109 members and a capitalisation of $100 billion.
Proposed by Chinese President Xi Jinping, the bank aims to provide funding to developing countries as an alternative to Western lending institutions.
Kenya joins 13 other African countries that are AIIB members.
In 2023, the bank disbursed Sh205 billion to three African countries: Egypt, Rwanda and Cote d'Ivoire.
Ruto, who is in China for the 9th Forum on China-Africa Cooperation Summit, also held talks with President Xi Jinping at the Great Hall of the People in Beijing.
He noted the strong diplomatic relations between Kenya and China, highlighting key infrastructure projects including the Standard Gauge Railway and Nairobi Expressway as successful collaborations.
Ruto said the AIIB membership aligns with Kenya's Bottom-Up Economic Transformation Agenda (BETA), aiming to accelerate development and boost economic growth.
He expressed optimism about leveraging the AIIB partnership to further the country's development objectives.