Kenya’s Infrastructure Fund Faces Its Big Test

By: Keziah Dauda Biya | Columnist | WBN NEWS Africa | September 9, 2026

Kenya is embarking on an ambitious new chapter in infrastructure financing, seeking to reduce its dependence on public borrowing by using government assets to attract private capital. At the centre of the strategy is the National Infrastructure Fund (NIF), which aims to mobilise up to KSh5 trillion for major infrastructure projects over the coming years.

The fund now faces its first major test: turning an ambitious financial model into projects that improve lives while remaining commercially sustainable.

The NIF is designed around a capital-recycling and blended-finance model. Its initial resources include proceeds from government divestments, with KSh106.3 billion from the March 2026 Kenya Pipeline Company IPO and additional proceeds from the partial divestiture of the government’s Safaricom stake forming part of the seed capital.

Rather than relying primarily on conventional government borrowing, the fund is expected to leverage public resources to attract pension funds, private investors, development finance institutions and other long-term capital providers. The model could allow every shilling committed by government to attract significantly more private investment.

James Mworia’s appointment as founding CEO on September 7 marks a decisive step from policy to implementation. Mworia brings more than 25 years of experience in investment management, enterprise development and capital allocation and previously spent 17 years as Centum Investment Company’s Group CEO and Managing Director.

The NIF board said his record of “building institutions and enterprises, mobilising capital and bringing investments to market” would help deliver critical infrastructure, deepen Kenya’s capital markets, raise productivity and strengthen competitiveness.

The opportunities are substantial. The fund is expected to support infrastructure across transport, logistics, energy, ICT, water, agriculture and other strategic sectors, creating the potential for better connectivity, stronger businesses, employment and improved public services.

Yet governance will be crucial. In July, the High Court allowed implementation of the NIF to continue while ordering the Treasury to provide certified financial accounts and transaction reports every three months, following a petition by Katiba Institute.

That oversight reflects the importance of protecting public assets and investor confidence.

For Kenya, the NIF represents more than another financing vehicle. It is an opportunity to transform national assets into lasting infrastructure, jobs and economic opportunity. If transparency, commercial discipline and strong leadership prevail, the fund could help build infrastructure that does not simply move money, but changes lives and strengthens Kenya’s future.

Editor: Joseph James Udoh

WBN Global News Desk
📩 newsdesk@wbnn.news The advantage---

TAG: #Kenya #Infrastructure #Investment #Economy #Development #WBN Africa #Africa Edition #WBN Africa News #WBN News Africa #Update #Africa