By News Desk
Kenya and Japan have signed a landmark KSh22.1 billion financial facility aimed at accelerating the growth of Kenya’s vehicle manufacturing sector, marking a significant step in strengthening economic and industrial cooperation between the two nations.
Speaking during the signing ceremony at State House Nairobi, Treasury Cabinet Secretary John Mbadi said the agreement is a direct outcome of Kenya’s State Visit to Japan in 2024 and the country’s participation in the Tokyo International Conference on African Development (TICAD) in 2025.
The financial facility is supported by Japan’s Nippon Export and Investment Insurance (NEXI) and was formalized in the presence of NEXI Chief Executive Officer Atsuo Kuroda.
CS Mbadi noted that the partnership reflects Kenya’s commitment to diversifying its sources of financing while fostering strategic international collaborations based on mutual respect, equality, and shared prosperity.
“This agreement demonstrates the strong and growing partnership between Kenya and Japan. It will enable us to leverage Japan’s capital, advanced technology, and decades of industrial excellence to expand local vehicle manufacturing capacity and increase the number of Kenyan-made vehicles on our roads,” said Mbadi.
The facility is expected to support industrial development, create employment opportunities, strengthen local supply chains, and enhance Kenya’s position as a regional automotive manufacturing hub.
The Government reaffirmed its commitment to creating a conducive environment for investment and industrial growth as part of its broader economic transformation agenda.
