Kenya Commercial Bank (KCB) Group and the African Export-Import Bank have agreed to provide a combined $800 million (KSh 103.4 billion) in financing to operationalize the Vipingo Special Economic Zone in Kilifi County.
- •Under a memorandum of understanding signed this week, Afreximbank will extend US$500 million while KCB will contribute US$300 million to support companies establishing operations within the zone.
- •The agreement was signed during the Kenya Investment Forum hosted by Arise Integrated Industrial Platforms, an infrastructure developer working with the government on SEZ projects.
- •Afreximbank has already disbursed US$40 million (KSh 5.2 billion) for preliminary works at the Vipingo SEZ.
“This agreement marks a significant step in our mission to catalyse sustainable industrial growth in Kenya and across the region. We are delighted to elevate Vipingo SEZ as a gateway to transforming, creating and sustaining an environment in which export-oriented industries can thrive, by leveraging economies of scale, shared infrastructure and access to global markets,” said KCB Group CEO, Paul Russo.
Located along the Kenyan coast, Vipingo SEZ is overseen by the Special Economic Zones Authority and is designed to attract both domestic and foreign direct investment through shared infrastructure and export-oriented incentives.
The facility is expected to attract manufacturers, agro-processors, logistics operators and other value-addition enterprises by offering access to capital, trade finance and project guarantees. Its development will serve as a hub for regional supply chains and to expand Kenya’s role in cross-border trade.
“Special Economic Zones are powerful engines for industrialization, export growth, and economic diversification. Through this financing framework, we will not only enable enterprises to scale but also support the creation of sustainable supply chains that uplift local communities and drive regional integration,” said Afreximbank’s Managing Director, Export Development, Oluranti Doherty.
The funding is part of Afreximbank’s US$3 billion (KSh 387.6 billion) country program for Kenya announced in 2023 to support industrial development. Previous allocations under the program have included the Naivasha and Dongo Kundu industrial parks.