US agency reveals Kenya’s secret Sh139bn coronavirus loan
The entrance to the National Treasury building in Nairobi.
What you need to know:
- The deal was signed in June last year in the wake of rising coronavirus cases that forced the government to impose restrictions.
Kenya in June signed a secret Sh139.5 billion (1.06 billion euros) loan deal with a Belarusian and Canadian companies to build mobile clinics and upgrade hospitals in the counties amid fears of a sharp rise in coronavirus cases.
The US Securities Exchange Commission (SEC) has disclosed the deal between the Treasury and Canadian firm Kallo Inc over the multi-billion shilling deal to upgrade Kenya’s health infrastructure to help contain Covid-19.
The deal was signed in June last year in the wake of rising coronavirus cases that forced the government to impose restrictions, including a daily night curfew, closure of schools and pubs as well as curb of movement in and out of four counties, including Nairobi.
Under the deal, Belarus-based Techno-Investment Module (TIM) provided financing for project labelled the Kallo Integrated Delivery System (KIDS), whose details remain scanty and were not made public in Kenya.
Yesterday, the Treasury said it needed more time to respond to Business Daily's questions, including whether Parliament was made aware of the debt agreement and if Kenya received the loan.
Read more here
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Editor’s note: The National Treasury has released a statement, post-publication of this story, denying the existence of the loan agreement between Kenya and Canadian firm Kallo Inc and Belarusian company Techno-Investment Module (TIM). Please find, attached, the Treasury’s full statement.
