Kenya’s President William Ruto has announced plans to establish a sovereign wealth fund and an infrastructure fund to invest in key sectors and reduce the country’s debt burden.
The funds will be capitalized through the privatization of state assets, including the sale of shares in Kenya Pipeline Company, which is expected to raise approximately $1.01 billion.
The infrastructure fund will focus on boosting the agriculture sector and increasing electricity production, with a target of generating at least 10,000 megawatts of new power to support industrialization.
Ruto emphasized the importance of responsible financial management, stating, “As responsible citizens of the present, we must think about the generations of tomorrow and we must keep for them something, so that tomorrow, they have a place to start”.
The sovereign wealth fund will have distinct windows for savings, stabilization, and infrastructure development, similar to the Nigerian Sovereign Investment Authority.
The funds are expected to play a crucial role in driving economic growth, promoting sustainable investments, and bridging the infrastructure gap in Kenya.
