Unlocking private capital for Kenyan public–private partnerships

Abdi Mohamed, CEO of Absa Bank, recently accompanied Kenya's President William Ruto on a state visit to the United States as the private sector representative for public-private partnerships (PPPs). PPPs are a vital tool for accelerating development in Kenya. The visit focused on collaborative efforts between the U.S. and Kenya to benefit from PPPs. Mohamed highlighted that the visit entailed various meetings in Atlanta and Washington, D.C., aimed at fostering partnerships between U.S. investors and Kenyan counterparts. Notably, the Coca-Cola Company signed a $175 million investment agreement during the visit, signaling the potential for significant collaborations. The trip emphasized the longstanding partnership between the two countries and laid the groundwork for future engagements. Key policy areas discussed during the visit revolved around fintech, agriculture, agritech, and green energy. There is a growing interest among U.S. investors in these sectors in Kenya. Mohamed underscored Kenya's leadership in sustainable energy practices and the country's commitment to ecologically sound initiatives. The alignment of policies to attract and accommodate investors was a crucial focus, ensuring a conducive environment for PPPs to flourish. Regarding financing for PPP projects, Mohamed stressed the importance of identifying opportunities and engaging with potential investors to bridge the gap in upfront investments. Collaboration with financial institutions, such as Absa Bank, plays a pivotal role in facilitating access to financing for transformative projects in Kenya. By connecting African opportunities with global investors, financial institutions aim to support sustainable development initiatives. Absa Bank's involvement in PPPs in Kenya underscores its commitment to being a key player in driving economic growth. The bank's presence in the United States through its representative office strengthens the bridge between Kenya and U.S.-based investors. Mohamed expressed optimism about the future of PPPs in Kenya, emphasizing the growing focus on these partnerships by both the government and private sector. The long-term impact of PPPs in Kenya extends beyond economic gains to include social benefits. By fostering sustainable projects that prioritize social and environmental sustainability, PPPs have the potential to drive long-term growth and development in the country. Mohamed highlighted the positive impact of PPPs in connecting long-term investors with opportunities in Africa and driving positive economic and social change. In conclusion, Mohamed's insights shed light on the transformative potential of PPPs in Kenya and the role of private sector players in driving sustainable development. The visit to the United States served as a platform to strengthen partnerships and explore investment opportunities that can contribute to Kenya's growth trajectory. As the country continues to focus on PPPs as a catalyst for development, collaboration with global partners and financial institutions like Absa Bank will be instrumental in realizing the full potential of these partnerships.