Arise Integrated Industrial Platforms, a Dubai-based African infrastructure development company, intends to pump investments exceeding $3 billion into Kenya over the next five years, a company executive told Reuters.
These investments, allocated to three industrial and export parks in addition to a textile company, are expected to support Kenya’s efforts to attract foreign investments with the aim of creating new job opportunities.
In a statement on the sidelines of an investment conference, Nikhil Gandhi, the company’s executive director responsible for developing special economic zones, said: “Our total investments in these projects will exceed about $3 billion.”
He added: “We seek to attract international companies from more than 14 countries around the world to establish their manufacturing bases here,” noting that Arise will provide between 30% and 40% of the funds itself in exchange for a share in the projects’ capital.
Gandhi explained that the remaining amount will be provided through loans from development finance institutions and other lenders, and will be allocated to two export zones along the coast of Kenya, and a third zone in Naivasha, located in the Rift Valley region, in addition to the textile company Revatex.
It is worth noting that Arise is owned by the direct investment arm of the African Export-Import Bank, the African Finance Corporation, the Saudi Vision Investment Company, and the Equitan Group, which is based in the Emirates.
Although the company has large projects in Benin and Gabon, these investments will be the first of their kind in Kenya.
Gandhi also revealed plans to establish an $800 million facility to support investors who will occupy spaces in the areas once they are developed, in cooperation with Kenyan financial services group KCB and the African Export-Import Bank.
He pointed out that dozens of companies from China, Lebanon and India had expressed interest, but he refused to reveal their names.
He added that the war in Iran and the rise in US customs duties may benefit some African countries as the nature of supply chains changes.
“People will shift value chains to this continent,” Gandhi stressed, referring to the textiles, metals and electric car sectors. He concluded by saying: “Given Kenya’s geographical location, I can already expect a radical transformation.”
