Raila Odinga Defends Adani Deal, Cites the country faces Economic Struggles

Renowned opposition leader and former Prime Minister Raila Odinga has stepped into the conversation surrounding the controversial Jomo Kenyatta International Airport (JKIA) leasing deal to the Adani Group. Addressing the rumours and concerns surrounding the agreement, Raila offered his strong support for the deal, citing Kenya’s economic challenges as a key reason to embrace public-private partnerships (PPPs).

Key Highlights:

Raila supports the Adani Group, citing Kenya’s economic struggles.
Advocates for a stronger PPP framework to protect investor confidence.
Adani’s interest in Kenya dates back to 2010, but legal framework issues delayed the deal.
Legal battles continue; court ruling set for October 25.

Raila supports Adani deal

Speaking in Mombasa on Sunday, October 13, Raila emphasised the economic difficulties Kenya is currently facing, stating that the proposed partnership with the Adani Group to lease JKIA could provide a much-needed boost to the country. He called Adani a “credible partner” and expressed confidence in their ability to help improve Kenya’s infrastructure.

“Adani is a credible partner. They have proven their capabilities in projects that surpass what we have seen in East Africa,” Raila said, referring to successful projects the Adani Group has executed in India, particularly in Gujarat and Mumbai.

History between Raila and Adani

Raila shared that his relationship with the Adani Group goes back to 2010, when he was introduced to the company by India’s Prime Minister Narendra Modi, then the Chief Minister of Gujarat. Adani had expressed interest in investing in Kenya at the time, but the absence of a robust legal framework for PPPs delayed their entry into the country.

“When I was the Prime Minister of Kenya, I was introduced to Adani by Prime Minister Narendra Modi,” Raila recalled, highlighting Adani’s transformation of a swamp in Gujarat into an industrial hub, complete with a port and power plant.

Advocating for a better PPP framework

While backing the deal, Raila acknowledged the concerns that have been raised about the PPP processes, especially surrounding transparency and accountability. He stressed the need for improvements in Kenya’s legal framework to attract and retain credible investors.

“The country needs to protect the framework of PPPs and investors that show interest in putting money into our public services and utilities. Otherwise, no investor will set foot here,” he warned.

Legal challenges continue

Despite Raila’s endorsement, the JKIA-Adani deal is currently facing legal challenges. The Law Society of Kenya (LSK) and the Kenya Human Rights Commission (KHRC) have taken the matter to court, arguing that the takeover process was flawed. On its part, Adani Airports Holdings Limited (AAHL), a subsidiary of the Adani Group, has maintained that the lawsuits are premature, as the project is still in the due diligence stage.

The High Court is expected to rule on October 25 on whether to refer the case to the Chief Justice, who could appoint a panel of judges to hear the matter. The outcome of this ruling will be crucial in determining whether the deal moves forward or faces further delays.

Raila’s support for the deal comes at a time when Kenya’s need for infrastructure investment is critical, and his remarks may shape both public perception and the future of the agreement.