Godwin Shaibu
Kenya’s largest lender, KCB Group, and the African Export-Import Bank (Afreximbank) have signed a financing deal worth $800 million to accelerate the development of the Vipingo Special Economic Zone (SEZ) in Kilifi County, a project aimed at turning Kenya’s coastal region into a manufacturing and export hub for East Africa.
The agreement, signed on September 16 and witnessed by President William Ruto, will channel affordable capital to companies setting up in the zone, with
Join our WhatsApp Channela focus on manufacturing, agro-processing, logistics, and value-added industries.
By easing access to financing and infrastructure, the initiative seeks
to boost industrialization, create jobs, and attract both domestic and foreign direct investment.
Under the deal, Afreximbank will provide $500 million, while KCB Group will commit $300 million. The funds will be used to develop core infrastructure and to offer investors tailored financial products, including project finance, working capital facilities, trade finance, guarantees, and advisory services.
Located about 42 kilometers from Mombasa and close to key shipping routes, the Vipingo SEZ is one of Kenya’s flagship industrial projects under the Special Economic Zones Authority. The 2,000-acre site is being developed by Centum Investment Company in partnership with Arise Integrated Industrial Platforms (Arise IIP). It is designed to attract export-oriented manufacturers and logistics companies by offering shared infrastructure and regulatory incentives.
KCB Group CEO Paul Russo said the partnership would “catalyse sustainable industrial growth” by positioning Vipingo as a gateway to regional and global markets. Afreximbank’s Managing Director for Export Development, Oluranti Doherty, called SEZs “powerful engines for industrialization and economic diversification,”
emphasizing the bank’s commitment to supporting African trade and value chains.
The funding is part of Afreximbank’s $3 billion Country Programme for Kenya, launched in 2023 to support key industrial projects, including the Naivasha
and Dongo Kundu industrial parks. Vipingo SEZ is expected to create thousands of direct and indirect jobs and strengthen Kenya’s role as a competitive manufacturing base in Africa.
