Back to Portfolio

Kenya PPP Directorate Support

Kenya
Supporting Kenya’s PPP Directorate in structuring market-ready infrastructure projects
Sector
Multi-sector
Total PIDG Commitment
USD 2.27m
Related SDG Goals
Project Overview
CompanyKenya Public Private Partnership Directorate (PPPD)
SectorMulti-sector
CountryKenya
Total Project CostUSD 2.27m
PIDG Commitment
  • Technical Assistance: USD 2.27m
Dates of PIDG involvement
  • 2021 – Present
Challenge

Despite the availability of funds, a large project pipeline and a clear need, comparatively few projects reach financial close in Africa, with 80% of projects failing at the feasibility and business planning stage (Mckinsey & Company – Africa’s Infrastructure Paradox). The Government of Kenya (GoK) has prioritised the use of public private partnerships (PPPs) as a tool to develop infrastructure assets and provide services. PIDG is consequently supporting Kenya’s PPP Directorate to develop a pipeline of well-structured infrastructure projects by covering the costs of transaction advisors on two projects.

Solution

PIDG has provided USD 2.27m in technical assistance to cover the cost of structuring two transactions – 1) a smart street lighting project in Nairobi covering the modernisation and retrofitting of approximately 100,000 lighting units with LED fixtures, group light controls, and a common management system powered through a mix of solar and grid energy; and 2) the development of a 4,000-bed capacity, purpose-built student accommodation for the University of Nairobi using green building technologies. PIDG has supported the coordination of the various stakeholders involved in both projects, ensuring best practice is followed for implementation and procurement.

Impact

Through technical assistance support for the PPP Directorate to bring projects to tender stage, PIDG will ensure that the projects are structured to the highest standards, including on impact and HSES considerations (including prioritising disability and gender-specific needs in the designs for safety and inclusion). This will make the projects more appealing to private capital investors, and lead to replication of similar projects to the same standard in the market with an opportunity to scale up.

Sign up to our
newsletter

Subscribe
Subscribe to our newsletter
Terms*
* indicates compulsory fields