Kenyan Court Halts Proposed Adani Lease of Country’s Main Airport

Kenyan Court Halts Proposed Adani Lease of Country’s Main Airport

Kenya’s High Court has issued a temporary injunction blocking a proposed deal that would allow India’s Adani Group to lease the country’s main airport for 30 years in exchange for expanding it, according to court documents released on Monday.

The Law Society of Kenya (LSK) and the Kenya Human Rights Commission (KHRC) filed a joint application challenging the proposed lease of Jomo Kenyatta International Airport (JKIA), East Africa’s largest aviation hub. The petitioners argued that Kenya could independently raise the $1.85 billion required for the airport’s upgrade.

In their application, the LSK and KHRC contended that the proposed 30-year lease was unaffordable, posed a threat to jobs, represented a fiscal risk, and did not offer value for money to Kenyan taxpayers. The court documents were published on the KHRC’s website.

LSK President Faith Odhiambo announced on social media platform X that the High Court had granted leave to file a judicial review challenging the potential lease to Adani. “The court has meanwhile issued a stay prohibiting any person from implementing or acting on the privately initiated Adani proposal over JKIA pending the conclusion of the court case,” Odhiambo stated.

The Adani Group has not yet responded to requests for comment on the court’s decision. A spokesperson for the Kenya Airports Authority declined to comment on matters before the court.

This legal intervention follows protests by the Kenya Aviation Workers Union last month, which called for a strike over concerns that the proposed deal would lead to job losses and the introduction of non-Kenyan workers.

The Kenyan government has maintained that while JKIA is operating above capacity and requires modernization, it is not for sale. Officials have stated that no final decision has been made regarding the proposed public-private partnership to upgrade the facility.

In July, the government announced that Adani’s offer was under review. They assured that if a deal were to be agreed upon, safeguards would be put in place to protect Kenya’s national interests.

This court injunction marks a significant development in the ongoing debate over the future of Kenya’s primary international gateway and highlights the complex interplay between infrastructure development, national interests, and public concerns in major international investment proposals.

REUTERS

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