JKIA's $1.8 Billion Privatization Controversy
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The Kenyan government is facing significant public opposition and worker protests over its plans to privatize Jomo Kenyatta International Airport (JKIA) through a $1.8 billion deal with India’s Adani Group. This 30-year agreement aims to expand and operate Kenya’s largest airport, projected to increase revenues from $163 million in 2025 to $290 million by 2030.
However, the proposal has sparked major controversy, with concerns raised about transparency and potential job losses. Unionized workers at JKIA recently went on strike, fearing mass layoffs and unfavourable working conditions if Adani brings in foreign workers. Public outcry has also focused on the lack of competitive bidding, with Adani being granted the deal without open competition. The Kenyan High Court temporarily halted the agreement, pending a judicial review to assess its public interest implications, with a decision expected in October 2024.
While the government argues that Adani’s experience in airport management makes them a suitable partner, critics are sceptical, pointing out that Adani manages only seven airports, all in India. Additionally, Adani has faced global controversies, including allegations of financial fraud, raising concerns about the group’s reliability in managing a critical national asset like JKIA.