President William Ruto is set to return to China this weekend after completing a week-long trip to Beijing, bearing gifts worth billions of shillings aimed at expanding economic opportunities.
The aid comes in the wake of rising international debt.
The president and his delegation negotiated with several entities and individuals, including Chinese President Xi Jinping, this week and signed deals that are expected to benefit various sectors of the economy.
President Xi Jinping on Thursday unveiled a 10-point partnership action plan for Africa for the next three years, which will provide financial assistance of $50 billion (Shs6.5 trillion) to the continent.
The action plan covers industrialization, agriculture, trade, investment, training and infrastructure modernization.
Others include access to the Chinese market for African products, 30 infrastructure connectivity projects, and development cooperation including 1,000 livelihood improvement projects.
“Over the next three years, China will work with Africa to implement 10 partnership actions for modernization, deepen China-Africa cooperation, and take the lead in modernizing the Southern Hemisphere,” he said.
The president, who made the remarks at the opening of the 9th Forum on China-Africa Cooperation (FOCAC) summit in Beijing, said the plan includes a $29.4 billion credit line, $11.2 billion in various assistance and at least $9.8 billion investment by Chinese companies in Africa.
China will also support Africa in issuing panda bonds in China to strengthen results-oriented cooperation.
Ruto, who is attending the summit which concludes today, said the meeting was an opportunity for Africa to renew and strengthen its partnership with China.
“Over the years, China has significantly upgraded our infrastructure and proven itself to be a true development partner and we look forward to leveraging this relationship to accelerate transformation,” Louto said upon his arrival in China on Monday.
He said the friendly diplomatic relations between the two countries had contributed greatly to the transformation of rail, road and port infrastructure including the Mombasa-Naivasha Standard Gauge Railway (SGR), the Nairobi Expressway and many local roads.
“Ahead of the FOCAC Summit, I met with President Xi Jinping at the Great Hall of the People in Beijing, China. During the meeting, President Xi agreed to export Kenyan agricultural products to the Chinese market. We also agreed to discuss regional infrastructure projects such as the expansion of the SGR and the Liloni-Mau Summit-Malaba dual carriageway,” Ruto said after his meeting with Xi on Tuesday.
The President also announced a major milestone during his visit, with Kenya formally joining the Asian Infrastructure Investment Bank (AIIB) as a fully-funded member.
He explained that membership would enable Kenya to access preferential funding for infrastructure, climate action, connectivity, regional cooperation and technology-enabled projects and programs.
Root met with Jin Liqun, president and chairman of the AIIB’s board of governors, and other officials at the AIIB’s China headquarters. The AIIB is a multilateral development institution with 109 member countries and a capitalization of $100 billion.
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The President also met with executives of the China Communications Construction Company, led by Chairman Wang Tongzhou, and discussed various projects, including the Liloni-Mau Summit-Malaba two-lane road, the Galana-Klaru irrigation project, the Bomas International Conference Centre and the extension of the SGR to the region.
“Africa’s huge infrastructure needs require stronger collaboration with the private sector to unlock the continent’s potential in minerals, renewable energy and agriculture. In Kenya, we have established a robust institutional framework, backed by incentives and returns on investment,” Ruto said.
He welcomed the promise of the Belt and Road Initiative to transform Africa through road, rail, air connectivity and other infrastructure, thereby unlocking the potential of intra-African trade, which is currently at a low of 15 percent.
“We are in negotiations with China to extend the SGR from Kenya through Uganda, Rwanda, Burundi and the Democratic Republic of Congo to the Republic of Congo, linking the Indian Ocean with the Atlantic Ocean,” Root said.
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