Kenyan President William Ruto yesterday announced the cancellation of a controversial deal involving the Adani Group, which had been in talks to take over the control of Nairobi’s Jomo Kenyatta International Airport (JKIA) for an ambitious upgrade project. Ruto’s decision followed growing concerns over transparency and accountability in the procurement process.
In a statement, President Ruto directed the relevant agencies within the Ministry of Transport and the Ministry of Energy and Petroleum to immediately cancel the ongoing procurement process for the JKIA Expansion Public-Private Partnership. Ruto cited “new information” provided by investigative agencies and international partners as the basis for the decision.
“Following the principles enshrined in Article 10 of our Constitution, particularly on transparency and accountability, I have instructed that the ongoing procurement process for the JKIA Expansion be terminated,” Ruto stated. He further clarified that the decision was based on information provided by partner nations, urging the concerned agencies to act swiftly in halting the transaction.
In address to the nation, Kenya President Ruto announces cancellation of deals with Indian group Adani.pic.twitter.com/P0tyms0PmX https://t.co/dmT1wwY6jZ
— Sidhant Sibal (@sidhant) November 21, 2024
This announcement comes just hours after the U.S. Department of Justice and the Securities and Exchange Commission (SEC) made headlines by indicting Adani Group chairman Gautam Adani and several others in a $250 million bribery and fraud case. The allegations have been strongly denied by the Adani Group, which has vowed to take all necessary legal actions to contest the charges.
The controversy surrounding the deal dates back to September, when India’s Congress party expressed opposition to the Adani Group’s proposal for the airport upgrade. Congress leader Jairam Ramesh had warned that the project could fuel public anger, not just against the Adani Group, but also against the Indian government.
The sudden cancellation of the deal signals ongoing scrutiny over the Adani Group’s international ventures, especially at a time when the conglomerate faces legal challenges both in India and abroad. The Kenyan government has yet to comment on the specifics of the investigations that led to the cancellation, but the move reflects growing concern over the potential risks associated with the partnership.
As of now, the future of the JKIA expansion remains uncertain, with Kenya seeking to explore alternative paths to improve its national infrastructure without the involvement of the Adani Group.
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