A Kenyan High Court has temporarily halted a $1.85 billion agreement between the Kenyan government and India's Adani Airport Holdings Ltd. The deal, which would have given Adani control over Nairobi’s Jomo Kenyatta International Airport (JKIA) for 30 years, has been paused until further court decisions.

The Kenya Human Rights Commission and the Law Society of Kenya filed a legal challenge against the government, claiming that the leasing of JKIA to a private entity is unconstitutional. They argued that the move violates key principles of governance, accountability, and responsible use of public funds.

Faith Odhiambo, president of the Law Society of Kenya, said the lawsuit emphasizes that the deal is financially unsound, risks job losses, and offers no value to Kenyan taxpayers. The plaintiffs also suggested that Kenya could raise the necessary funds to expand JKIA without resorting to a private lease.

The Kenyan government, however, defended the agreement, citing the need for significant improvements at JKIA, which is operating beyond capacity. Henry Ogoye, acting Managing Director of the Kenya Airports Authority, explained that the proposal would undergo a detailed review to ensure compliance with public-private partnership laws. He noted that the scale of investment needed was too large for the government to handle alone without private funding.

Adani’s Future Airport Plans

Adani Group plans to list its airport business, managed by its subsidiary Adani Airport Holdings, on stock exchanges by 2028. However, the proposed deal has sparked strong opposition, especially from Kenya's transport workers, who fear job losses as a result of the agreement.

Despite protests, the Kenyan government remains supportive of the deal, pointing to the urgent need for infrastructure upgrades at one of Africa’s busiest airports. Adani Enterprises is continuing its international expansion plans, with other Indian firms like GMR also exploring opportunities in global airport operations.

The Strategic Battle for Africa

India and China are competing for influence in Africa by investing in infrastructure projects across the continent. China’s President Xi Jinping recently pledged $51 billion for African nations over the next three years, supporting job creation and providing aid to debt-ridden countries.

In response, Adani Group is expanding its international presence to rival China’s investments. Adani Ports & Special Economic Zone Ltd. is already operating or planning to operate ports in countries like Tanzania and Sri Lanka, positioning India as a key player in global trade.

While Adani Group is India’s largest port operator, its ambitions go beyond national borders, aiming to challenge China's dominance in global infrastructure. Experts see India’s strategic efforts as a long-term plan to build out new investments across South Asia and beyond.

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