The $1.85 billion investment plan included upgrading the airport and constructing a new runway and passenger terminal.
The decision to allow Adani Group to invest in and manage Nairobi's Jomo Kenyatta International Airport was challenged by the Law Society of Kenya and the Kenya Human Rights Commission. They argued that the deal was unconstitutional, posed significant fiscal risks, and did not offer value for money to the taxpayer.
The Law Society of Kenya and the Kenya Human Rights Commission argued that the deal was made without adequate public consultation, which is a requirement under the Kenyan Constitution.
Concerns were raised about the transparency of the negotiation process and whether it adhered to principles of accountability. The organizations questioned whether the deal posed significant fiscal risks to the country, potentially burdening taxpayers without clear benefits.
The temporary halt of Adani Group’s proposal to invest in Nairobi’s Jomo Kenyatta International Airport could have several implications for Kenya’s infrastructure development. The planned upgrades, including a new runway and passenger terminal, will be postponed, potentially affecting the airport’s capacity and efficiency.
This decision might create uncertainty for future foreign investments in Kenya’s infrastructure projects, as investors may become cautious. The delay could impact economic growth, as improved airport infrastructure is crucial for boosting tourism and trade.
The Kenyan government may need to reassess its strategy for attracting and managing large-scale infrastructure investments.
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