Kenya has signed a sh1.8 billion (RMB 100 million) grant agreement with China to boost healthcare by upgrading hospitals in the country.
The Cabinet Secretary for the National Treasury and Economic Planning, John Mbadi, on Thursday signed the sh1.8 billion grant agreement with the Ambassador of the People’s Republic of China, Guo Haiyan. The signing took place this morning at the Treasury Building in Nairobi.
Speaking during the signing ceremony, CS Mbadi expressed gratitude to the Chinese government for its continued support, emphasizing that the partnership underscores the strong bilateral ties between Kenya and China.
“The grant will provide a significant boost to Kenya’s healthcare sector by funding the upgrading of key hospitals across the country. Among the beneficiary institutions are Londiani Referral Hospital, Baringo County Referral Hospital, Kilifi Hospital, Misikhu Hospital, Bildad Kagia Hospital, and Kaimosi Farmers Training College,” said CS Mbadi.
Strengthening Bilateral Relations
The People’s Republic of China has maintained a longstanding relationship with Kenya, supporting various economic, political, and sociocultural development initiatives. Over the years, Kenya has benefited from China’s financial and technical assistance, which has significantly contributed to national development and economic growth.
As part of efforts to further enhance cooperation, a State Visit invitation has been extended to the President of Kenya. The visit is expected to strengthen diplomatic ties and pave the way for future development projects.
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China remains Kenya’s leading bilateral partner, providing support in the form of loans and grants.
Currently, China’s total financial assistance to Kenya stands at sh.907.348 billion, comprising sh.867.020 billion in loans and sh.40.328 billion in grants.
Some of the key projects financed by the Chinese government under the Forum on China-Africa Cooperation (FOCAC) and the Belt and Road Initiative (BRI) include:
The Mombasa-Nairobi Standard Gauge Railway (SGR)
The Nairobi-Naivasha Standard Gauge Railway
The Nairobi-Thika Highway Improvement Project (Lot 3)
The construction of Nairobi Eastern and Northern Bypasses
The Nairobi Southern Bypass Project
The Government of Kenya has also welcomed newly approved concessional loans from China, including funding for:
The Nairobi Intelligent Transport System (ITS) Establishment and Junction Improvement Project
The Establishment of Technical and Vocational Training Laboratories in Kenya Project Phase III (TVET III)
The framework agreements for these loans will be signed during the upcoming State Visit. Meanwhile, the National Treasury is currently reviewing the draft concessional loan agreements in preparation for negotiations with China Eximbank next week.