Adani Airports Proposes $1.85 Billion Upgrade for Nairobi JKIA Airport in Kenya

While managing Indian airports, the airport division of the Adani Group is looking to develop international airports.

Recently, Adani Airport Holdings Limited (AAHL) has floated the idea of ​​upgrading Nairobi’s Jomo Kenyatta International Airport (JKIA).

On Wednesday, July 24, the Kenya Airports Authority (KAA) revealed that it had received an investment proposal from an Indian group. The announcement was made under a public-private partnership.

“The proposal comes after the Kenyan government approved a medium-term investment plan to upgrade the passenger terminal building, runways, taxiways, and aprons at Nairobi Airport,” said Henry Ogoye, managing director and chief executive officer of JKIA.

JKIA, built in 1978, is a strategic national asset but its outdated infrastructure threatens regional competitiveness.

Ogoye said the investment required is substantial and can only be financed with private financing as existing financial constraints hinder funding it.

AAHL’s proposal will undergo technical, economic, and legal review in compliance with the Public-Private Partnership Act 2021.

The group has proposed to invest $1.85 billion, which is expected to yield 18 percent annual returns over three decades, an African newspaper reported.

AAHL currently manages seven airports in Mumbai, Ahmedabad, Lucknow, Mangaluru, Jaipur, Guwahati and Thiruvananthapuram.

Between 2020 and 2021, the group acquired rights to upgrade and operate another six airports, except Mumbai airport, which was bought by GVK Group in 2021.

Also, the group plans to invest Rs 18,000 crore in Navi Mumbai airport.