Kenya Awards $2.9 Billion Airport Upgrade Contract To Chinese Firm After Adani Deal Collapse

Kenya has handed a $2.9 billion contract to a Chinese state-owned company to modernise Nairobi's main airport, nearly two years after scrapping a proposed deal with India's Adani Group.

The Jomo Kenyatta International Airport modernisation project, part of a long-term plan to transform Nairobi into a major East African aviation hub, includes upgrades to terminals, runways, aircraft stands and airport facilities.

Source : ABPLIVE AI

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Key points generated by AI, verified by newsroom

• Kenya awarded China Communications $2.9 billion JKIA expansion contract.
• This replaces Adani Group's cancelled $2 billion airport concession.
• Modernization is crucial to strengthen Kenya's aviation hub status.

New Delhi, Jun 11 (PTI) Kenya has awarded a USD 2.9 billion contract to China Communications Construction Co (CCCC) to expand and modernise Nairobi's Jomo Kenyatta International Airport (JKIA), marking a return to large-scale Chinese-backed infrastructure development nearly two years after the collapse of a proposed deal with India's Adani Group.

The contract value is roughly 50 per cent higher than Adani Group's proposed airport concession, which was estimated at about USD 2 billion before being scrapped by President William Ruto's government in November 2024 amid political opposition, legal challenges and public scrutiny, sources said.

Kenya had initially engaged with Adani for a few months on the project. However, the deal was cancelled in November 2024, following mounting pressure on President William Ruto amid global allegations raised by the US Department of Justice against the group (which Adani denied).

Recently, the US Department of Justice closed the matter, citing a lack of conclusive evidence, bringing the episode to a close from a legal standpoint.

The award to the Chinese state-owned contractor advances long-delayed plans to modernise Kenya's busiest airport, which has been operating beyond its intended capacity and is viewed as critical to the country's ambitions of strengthening its position as East Africa's leading aviation hub.

The JKIA expansion forms part of a 20-year master plan extending to 2045 and includes upgrades to runway infrastructure, passenger terminals, aircraft stands, access roads and support facilities. Kenya's government has said the airport handled nearly 9 million passengers in 2025, above its design capacity of about 7.5 million passengers annually.

Adani's proposal had become the focus of intense political and public debate in Kenya, with critics questioning the terms of the concession and the transparency surrounding the project. The controversy spilled into India, where opposition politicians cited the proposed transaction in attacks on the government and the conglomerate.

Following the cancellation of the Adani plan, Kenya moved ahead with a fresh procurement process and government-backed financing model for the airport upgrade. President William Ruto has previously identified JKIA's modernisation as a priority infrastructure project under the country's National Infrastructure Fund.

The Chinese award reinforces Beijing's longstanding role in Kenya's infrastructure sector. CCCC and affiliated companies have previously participated in major projects, including the Nairobi Expressway and the Mombasa-Nairobi Standard Gauge Railway.

(This report has been published as part of the auto-generated syndicate wire feed. Apart from the headline, no editing has been done in the copy by ABP Live.)