UK to invest £132m in Kenya to support green homes, clean energy

THE UK on Tuesday (27) announced £132m of new investments in Kenya to support building new green affordable homes, connecting households to clean energy, and boosting manufacturing.

Foreign secretary Dominic Raab welcomed Kenyan President Uhuru Kenyatta, who was on a three-day visit to the UK to co-host the Global Education Summit with Prime Minister Boris Johnson, in London.

Kenyatta witnessed the signing of a new memorandum of understanding between TheCityUK and the Nairobi International Financial Centre Authority.

The new partnership will help to channel international investment into Kenya and the wider region, making sure firms and investors are able to make the most of trade and investment opportunities, a statement said.

It will also boost the African nation's closer collaboration with the London Stock Exchange.

“This £132 million package of new UK-Kenya deals from the UK government and British firms will support investment in the region, including building new green affordable homes, connecting households to clean energy, and boosting manufacturing," said Raab.

“This package of investments will create new jobs and unlock new opportunities for the UK and Kenyan businesses by strengthening the relationship between Nairobi and the City of London.”

British insurer Prudential intends to be the first firm to set up in Nairobi’s new International Financial Centre. Kenyan mining company Mayflower Gold announced plans to dual list its shares on both the London and Nairobi Stock Exchanges in a deal worth £14m, the statement added.

“Africa is an important part of our long term growth strategy and I am delighted that the UK and Kenya are collaborating on financial services, where there are many opportunities for innovation. Prudential is proud to be working with both countries on this initiative," said Prudential PLC Chair Shriti Vadera.

"Joining the International Financial Centre in Nairobi is testament to our long-term commitment to supporting financial sector development across Africa.”

As part of Kenyatta's visit, £28m of private investment in Kenyan manufacturing was confirmed under the UK’s Manufacturing Africa initiative, and UK firm ARC Ride announced plans to invest £4.5m in growing its fleet of electric vehicles in Kenya.

Foreign Secretary also announced a new £58m fund, anchored by £35m of UK government investment, which will finance the construction of 10,000 green affordable homes in Kenya.

Delivered by TradeMark East Africa, and backed by £18m of UK funding, a new digital customs system for Kenya will boost the nation’s economy and would grow £1.4bn mutual trade.

Kenyatta also met COP President Alok Sharma to celebrate progress on the Kenya-UK Year of Climate Action. The UK announced £3.7m of new UK funding to accelerate Kenya’s climate transition, including projects supporting renewable energy, clean cooling, and forest restoration.

On Wednesday (28), Kenyatta will meet Johnson ahead of the Education Summit.