By James Murimi - Reporter
Kenya, 20 November 2025 - President William Ruto has renewed his administration’s plan to pursue a public-private partnership (PPP) in the modernisation of Jomo Kenyatta International Airport (JKIA), signaling his intent to reposition Kenya as the leading aviation and commercial hub in East and Central Africa.
Delivering his State of the Nation Address during a joint sitting of the National Assembly and the Senate on Thursday, the President said the modernisation efforts will not only target the country’s main gateway but will also extend to Mombasa and Lamu airports under the same framework.
“We will also onboard public-private partnerships in the modernization of Jomo Kenyatta International Airport, Mombasa and Lamu airports, and sort out the challenges facing Kenya Airways by next year. This work is already progressing,” President Ruto said.
The President noted that the reforms are part of a broader agenda to restore the operational efficiency of Kenya Airways by 2026, describing transport and logistics as “the backbone of national competitiveness.”
His renewed commitment comes a year after he cancelled a controversial procurement process that would have handed the control of JKIA to India’s Adani Group under a KSh 236 billion concession.
The planned deal, which included the construction of a second runway and a modern passenger terminal in exchange for a 30-year lease, was terminated after the company’s founder was indicted in the United States. The announcement then drew loud applause from MPs.
Yesterday, President Ruto emphasised that efficient transport systems lower the cost of doing business, connect producers to markets, and boost Kenya’s standing as the regional aviation powerhouse.
As part of the broader infrastructure agenda, the President announced that he will next week launch the dualling of the 170-kilometre Rironi–Naivasha–Nakuru–Mau Summit road.
On the same day, ground will be broken for the 58-kilometre Rironi–Maai Mahiu–Naivasha dual carriageway.
“The gridlock that paralyses these roads every day, especially on weekends and holidays, will soon be history,” he said.
A raft of additional major road corridors has also been earmarked for expansion, including:Muthaiga–Kiambu–Ndumberi; Machakos Junction–Mariakani; Mau Summit–Kericho–Kisumu; Kisumu–Busia; Mau Summit–Eldoret–Malaba; Athi River–Namanga; Karatina–Nanyuki–Isiolo; Makutano–Embu–Meru–Maua; Mtwapa–Malindi; Mombasa–Lunga Lunga; Kericho–Kisii–Migori–Isebania; Nakuru–Nyahururu–Karatina; Kisii–Oyugis–Ahero; the Northern Bypass; James Gichuru Road; Bomas–Karen–Ngong; Bomas–Ongata Rongai–Kiserian; Ngong–Isinya; and Naivasha–Kikuyu.
Beyond roads, the President said the Standard Gauge Railway (SGR) will be extended from Naivasha to Kisumu and later to Malaba beginning January 2026, a move expected to stimulate trade and reduce cargo transit times across the region.
More from Kenya
President Ruto told Parliament that the estimated cost of achieving the government’s four main infrastructure and development priorities stands at over KSh5 trillion, a figure he said may appear “audacious” but necessary for Kenya’s transformation.
With fiscal constraints limiting traditional borrowing, the President said the solution lies in two new financing vehicles: the National Infrastructure Fund and the Sovereign Wealth Fund.
He stressed that Kenya cannot continue funding critical infrastructure through unsustainable debt or higher taxes.
Instead, the country must innovate in the use of national revenues and assets, while mobilising private capital through PPPs.
The National Infrastructure Fund, he said, will be anchored in the Government-Owned Enterprises Bill, which he will sign into law. It will allow the country to leverage budgeted resources, capital markets, and privatisation proceeds to support large-scale development.
For decades, proceeds from privatisation - such as shares from Kenya Airways, KenGen, Kenya Re, and Safaricom - were absorbed into recurrent budgets rather than used to build new assets.
Ruto said the new fund will “break this cycle” by ring-fencing all privatisation income for reinvestment into infrastructure.
“For every shilling invested from privatisation proceeds, we aim to attract ten shillings from long-term investors,” he said, adding that global models such as Australia’s Future Fund, Singapore’s Temasek, and the UAE’s Mubadala demonstrate the success of commercially run public investment funds.
To ensure future generations benefit from the country’s natural resource use and borrowing, the President announced the creation of a Sovereign Wealth Fund.
The fund will support long-term national savings, stabilisation, and investment in wealth-creating assets.
Describing the two funds as “a generational strategy,” the head of state said they will mobilise capital, preserve public wealth, and accelerate the delivery of transformative projects without increasing the debt burden on Kenyans.
