Controversy Surrounds Adani Group’s Proposed Takeover of Nairobi’s Jomo Kenyatta International Airport
The proposed acquisition of Jomo Kenyatta International Airport (JKIA), Kenya’s largest airport, by Adani Holdings has sparked widespread criticism and raised serious concerns about the nation’s leadership and the integrity of the contract process. Allegations of dubious dealings surrounding the proposal have surfaced, including claims that the Kenyan government altered its aviation policy to facilitate this deal.
The Adani Group’s proposal came just three months after Kenyan President William Ruto visited India and met with Prime Minister Narendra Modi, leading to speculation about a potential collusion between the two leaders. Critics have pointed to this timing as evidence that the Kenyan Prime Minister may be acting as an intermediary for the Indian businessman, fueling the emergence of the term “Modani”—a portmanteau of Modi and Adani—used to describe the perceived nexus between the two.
Former Kenyan Prime Minister Raila Odinga reinforced these allegations in a statement to the press on October 13, asserting that Gautam Adani was introduced to him by Narendra Modi back in 2010. Odinga’s comments aimed to underscore the controversial nature of the Kenyan government’s engagement with the Adani Group to upgrade and expand Nairobi airport under a public-private partnership (PPP) model, which involves leasing the airport’s operations to Adani for 30 years.
Allegations of Corruption and Mismanagement
The entry of Adani into Kenya’s aviation sector has been mired in allegations of corruption. Reports indicate that several Kenyan leaders and bureaucrats may have accepted kickbacks to facilitate key deals for Adani, including the Nairobi airport takeover and an energy project focused on electricity distribution in the country. Additionally, proposed plans for universal healthcare services under Adani have also come under scrutiny.
The specifics of the JKIA deal involve Adani Holdings refurbishing the existing terminal, constructing a new terminal, and building a runway, all while leasing the airport’s operations for three decades. However, this has faced pushback from various stakeholders in Kenya.
Stakeholder Opposition and Legal Concerns
On October 9, Kenya’s Association of Air Operators (KAAO), which represents flight operators in the country, formally requested a review of the takeover agreement. They argued that the bidding process violated the provisions of Kenya’s Public-Private Partnership model and highlighted the government’s failure to consult with key stakeholders prior to approving the deal.
Media reports indicate that many view Adani’s plans for the airport operations as detrimental to Kenya’s national interests, igniting a nationwide debate on the appropriateness of the deal. In September, Kenyan aviation workers staged a strike against the airport takeover, ultimately compelling the government to grant them veto power over the agreement with Adani.
As the situation continues to evolve, the proposed takeover of Jomo Kenyatta International Airport remains a contentious issue, drawing attention to the broader implications for governance and economic integrity in Kenya. The future of the deal will likely depend on ongoing public discourse and the responses from both the Kenyan government and its citizens.