MOMBASA, Kenya (BG) — Kenya and Afreximbank have signed a $1 billion agreement to develop the Dongo Kundu and Naivasha Special Economic Zones, a move President William Ruto said will accelerate industrial growth and create thousands of jobs.

Speaking in Mombasa on Friday, Ruto said the deal positions Kenya as a key manufacturing hub. “This agreement fuels industrialisation, manufacturing, and agro-processing, reinforcing Kenya’s position as a regional export powerhouse,” he said.

According to Kenya’s presidency, the projects are expected to generate over 40,000 jobs in Dongo Kundu and 100,000 in Naivasha.

The investments will focus on footwear, agro-processing, pharmaceuticals, textiles, e-mobility, and glass manufacturing.

The President highlighted that the agreements form part of a broader $3 billion memorandum of understanding signed in 2023 between Kenya and Afreximbank to drive private-sector participation in infrastructure development.

He stated that the initiative is in line with Kenya’s Vision 2030 and the Bottom-Up Economic Transformation Agenda.

Afreximbank President and Chairman Benedict Oramah said the agreements mark a turning point for Kenya’s industrial sector. “Across Africa, citizens are tired of promises and fed up with dreams of better lives that are soon shattered,” he said.

“Today, the promise of Dongo Kundu Industrial Park and Naivasha Special Economic Zone … has found a safe landing.”

President Ruto also praised Japan’s support, noting that Japan International Cooperation Agency has contributed KSh37 billion ($286.82 million) in concessional loans and a KSh6 billion ($46.51 million) grant for infrastructure at the Mombasa Special Economic Zone.

He announced new infrastructure projects, including the KSh9.4 billion ($72.87 million) Ilasit-Rombo-Njukini-Taveta Road and the KSh50 million ($387,597) Maungu Fresh Produce Market, which will support economic growth in rural areas.