Cheruiyot: Infrastructure Fund a game changer for Kenya’s economy

Senate Majority Leader Aaron Cheruiyot /HANDOUT

Senate Majority Leader Aaron Cheruiyot has hailed the signing into law of the National Infrastructure Fund Act (Kenya), saying it marks a significant step toward economic self-reliance.

Cheruiyot said the establishment of the fund represents an ambitious strategy aimed at mobilising domestic capital to finance critical infrastructure, reducing Kenya’s reliance on external borrowing.

“This is an audacious plan to finance key development infrastructure from domestic capital,” said the Kericho Senator.

According to Cheruiyot, the move fulfills a key promise made in the Kenya Kwanza administration’s development agenda led by President William Ruto.

He noted that the creation and operationalisation of the National Infrastructure Fund was a central pledge in the Kenya Kwanza manifesto, aimed at addressing the country’s growing infrastructure financing gap estimated at about four billion dollars.

“This is yet another promise kept by President William Samoei Ruto delivering a pledge in the Kenya Kwanza manifesto on establishing and operationalizing the National Infrastructure Fund ostensibly to bridge the burgeoning four billion dollar infrastructure gap,” Cheruiyot said.

The Senate Majority Leader argued that the fund offers Kenya an opportunity to shift away from heavy dependence on sovereign debt, which he said has often been influenced by volatile global economic conditions.

He described the initiative as a critical tool in helping the country stabilise its infrastructure financing framework.

“The Fund is the magic silver bullet for ending over-dependence on the choking sovereign debt which is marked by volatility in global currencies and uneven financial conditions set by multilateral institutions,” Cheruiyot said.

The lawmaker also pointed to the planned upgrade of Jomo Kenyatta International Airport as one of the major projects expected to benefit from the new fund.

He said approximately Sh20 billion structured through equity participation from the fund, together with other domestic investments, has been earmarked to support the modernisation of the airport.

The project aims to transform the country’s main international gateway into a leading aviation hub in the region.

“That Sh20 billion structured through equity participation from the Fund, alongside other domestic investment is earmarked to finance major upgrade of Jomo Kenyatta International Airport and elevate it into region’s premier aviation hub couldn’t have come at a better time,” Cheruiyot said.

The senator praised President Ruto and other stakeholders for pushing through what he described as difficult but necessary reforms aimed at strengthening Kenya’s economic independence.

“Credit to President William Ruto and other stakeholders for taking the high road and sticking to high-stakes unpopular decisions including weathering tough political turbulence to deliver viable domestic capital model that will herald Kenya into a prosperous future,” Cheruiyot added.

The National Infrastructure Fund is expected to mobilise investments from both public and private sources within the country to support large-scale projects in sectors such as transport, energy and logistics.