Kenya Plans $100M Investment in AfDB, Afreximbank, and Trade Development Bank

Kenya plans to invest $100 million in the African Development Bank (AfDB), Afreximbank, and Trade Development Bank over the next three years to boost its shareholding in these institutions.

The nation has benefitted significantly from AfDB’s financial support, particularly in energy, water and sanitation, and infrastructure development. Projects funded by AfDB in Kenya include the construction of the Thika Superhighway, the expansion of electricity access from 27% to 76% over the past decade, and the implementation of water and sanitation initiatives in 28 towns.

“Kenya is among the beneficiaries of AfDB financing projects and I am also motivated by the profits and dividends from the Bank. As a country, we therefore call on donors and development partners to scale up their investments in our development financial institutions,” said President William Ruto during the the unveiling of the African Development Bank Group’s new ten-year strategy 2024-2033 in Nairobi earlier this week.

The strategy emphasizes several key cross-cutting priorities, including advancing gender equality, empowering young people, addressing climate change, supporting climate action initiatives, assisting fragile states, and promoting good governance and economic stability. Additionally, the bank aims to enhance its financing capacity through initiatives like Sustainable Hybrid Capital, Risk Transfers, and reallocating a substantial portion of the International Monetary Fund’s Special Drawing Rights through Multilateral Development Banks.