The National Treasury today held an official ceremony to receive the final report from the Committee of Experts (CoE) on Mobilizing Domestic Capital for Public-Private Partnerships (PPPs).
The event, led by Principal Secretary Dr. Chris Kiptoo, took place at Serena Hotel and marked an important step in Kenya’s infrastructure development plans.
The Committee of Experts was formed on February 3, 2025, to develop strategies and recommend legal, policy, and administrative changes to help Kenya raise more long-term funds from local financial markets to support PPP projects.
In his remarks, Dr. Kiptoo stressed the significance of the committee’s work for the country’s economy.
He noted that since 2013, Kenya has mobilized about Sh140.7 billion in private capital through PPPs, but this is only a small portion of the potential available through local markets.
“The report offers a clear plan to unlock the vast opportunities within our domestic financial system,” Dr. Kiptoo said. He added that the government will take one month to review the report and outline how to implement its recommendations.
A key recommendation from the committee is the creation of the PPP Implementation Trust Fund (PPP-ITF).
This fund will act as a central mechanism to gather and use domestic capital, such as pension and insurance funds, to finance PPP projects during both construction and operation phases. The goal is to offer steady returns to investors and reduce dependence on government guarantees.
Dr. Hosea Kili, Chair of the Committee of Experts, described the trust fund as a game-changer for funding Kenya’s development. He said the PPP-ITF will bring together institutional investors and national development goals to build sustainable infrastructure while providing reliable returns for Kenyan savers and pensioners.
Eng. Kefa Seda, Director General of PPP at the National Treasury, explained that the other recommendations in the report aim to support and strengthen the trust fund’s implementation.
He said the PPP-ITF will combine public sector financing with private funds to make infrastructure investments more viable and sustainable.
“We know some recommendations will need changes in the law, while others can be done administratively. The Directorate fully supports this initiative and will work hard to put the recommendations into action,” Eng. Seda added.
The report also includes detailed plans for how to manage and govern the trust fund and how to handle risks to ensure success. The National Treasury will now review these recommendations and prepare a detailed action plan.
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