Dr Dennis Munene, Executive Director of the China-Africa Center at the Africa Policy Institute./HANDOUT
One year ahead of Kenya’s general elections, political machinations, character assassination, and post-truth narratives are already emerging, with Chinese enterprises getting dragged into the fiercely political campaigns.
During a recent press statement, former Deputy President Rigathi Gachagua labelled the China Road and Bridge Corporation (CRBC) a conduit for corruption under President William Ruto's regime. In response, National Assembly Majority Leader Kimani Ichung'wah and allied lawmakers accused Gachagua of bitterness after CRBC allegedly rejected his demand to extort Ksh 300 million while he was in office.
Similarly, in February 2023, then-Investments, Trade and Industry Cabinet Secretary Moses Kuria publicly demanded that the Chinese retail store China Square, which now has seven branches country-wide, exit the Kenyan market. He offered to buy out their lease at Kenyatta University’s UniCity Mall to hand it over to local trader associations. This regressive political rhetoric poses a critical security threat to Chinese nationals and their investments in Kenya, particularly amid escalating ‘goonism’ culture in the country.
This notwithstanding, Kenya is classified as a lower-middle-income country, and Chinese-related enterprises such as CRBC are a critical catalyst for advancing the country’s development agenda of becoming an industrialised, upper-income country.
For decades, China's and Kenya's bilateral relationship has evolved significantly since formal diplomatic ties were established in 1963. This partnership has moved from basic political recognition to a Comprehensive Strategic Cooperative Partnership in the NewEra during President Ruto's state visit to Beijing from April 18 to 26, 2025. This upgraded framework deepened bilateral cooperation across infrastructure, digital innovation, trade, education, agriculture, and healthcare.
Serving as the engines driving the elevated bilateral relations are the approximately 400 Chinese enterprises operating in Kenya. These enterprises, classified as either privately owned enterprises (POEs) or state-owned enterprises (SOEs), have enabled Kenya to become an economic and logistical hub in East Africa.
First, these Chinese enterprises have heavily financed and constructed major infrastructure in Kenya, including the Mombasa-Nairobi-Naivasha Standard Gauge Railway (SGR), the Nairobi Expressway, the Southern, Eastern, Northern, and Western bypasses, the Nairobi West Outer Ring Road, the Garissa 50MW Solar power station, the New Kipevu Oil Terminal Project, the Kenya-Tanzania 400 kV interconnector, Dandora waste-to-energy project, Orpower 22 Geothermal Power Plant, Thwake Multi-Purpose Dam project, Karimenu II Dam project, and the Naivasha Inland Container Deport, Talanta stadium, among other key projects. These projects have provided faster, more efficient transport systems, enhanced energy and water security, and ultimately filled Kenya’s infrastructure gaps and boosted its economic growth.
Second, Chinese enterprises have also invested heavily in manufacturing and industrial development. Their investment in Kenya focuses on light manufacturing, building materials, and special economic zones. Projects such as the Global Trade Center, Africa Economic Zone (AEZ) Pearl River, KEDA Ceramics Factory, Senda FMCG (Fast-moving consumer goods) project, and China Wu Yi Precast Building Materials Factory have boosted local production capacities and advanced Kenya’s industrial development.
Third, the enterprises have enhanced Kenya’s human capital development through the creation of employment and skills development. According to World Bank reports in 2025, Kenya’s unemployment rate has increased sharply. The formal sector share of jobs remains low at roughly 15%, while the labor market relies heavily on informal work, and a profound mismatch between acquired education and market demands. This is not a Kenyan problem alone but a global issue affecting the majority of countries in the Global South. However, Chinese enterprises have created hundreds of thousands of jobs, both formal and informal, provided skills development through on-the-job training, formal education, technology transfer, and exposure to modern work surroundings. This has helped to improve labor productivity in the country.
Fourth, the Chinese enterprises have enhanced China-Kenya people-to-people cooperation through promoting cultural diplomacy, educational scholarships, media and think-tank cooperation, youth dialogues, and public engagement programs such as the recent drone light show at Nyayo National Stadium in Nairobi. These strategic initiatives have shifted bilateral ties from heavy infrastructure development into small and beautiful projects within community-level engagement, fostering soft power, skills sharing, and mutual understanding.
Last but not least, during President Ruto’s state visit in Beijing, Chinese firms committed significant investments across several sectors. In agriculture, Shandong Jailejia purpose to establish a US$30 million egg production facility in Kajiado, and Zonken Group will invest US$400 million in an Aloe vera processing plant and vineyard in Baringo County. In manufacturing, China Wu Yi will invest US$150 million to develop a Special Economic Zone in Kilifi, expected to create about 5,000 jobs, while Rongtai Steel Company plans to expand steel production for the Affordable Housing Program with another US$150 million investment. The textile sector will benefit from a US$20 million investment by Chongqing Shangcheng Apparel Group in a new factory in Kajiado. Thus, with this kind of win-win cooperation advanced by Chinese enterprises, it is imperative that we protect development partners and avoid dragging them into our campaign political rhetorics.
The writer is the Executive Director of the China-Africa Center at Africa Policy Institute