France loses €1.3B Kenya infrastructure deal to China as Beijing expands influence in Africa.
The Kenyan government’s decision to halt the project, originally led by a France-based firm, has paved the way for a China-backed contractor to take over.
The decision underscores shifting political and economic alliances on the continent, where a growing number of countries are distancing themselves from former colonial powers and turning toward China for strategic partnerships.
The project, which aims to upgrade 140 kilometers (87 miles) of single-lane roadway into a multi-lane highway linking Nairobi to the Rift Valley city of Nakuru, was originally signed in Paris in 2020 during a state visit by then-President Uhuru Kenyatta.
The deal had been awarded to a consortium led by France’s Vinci Highways, with participation from Vinci Concessions and the French private equity firm Meridiam SAS.
According to government officials and sources familiar with the matter, the contract will likely be reassigned to a Chinese firm—a development exclusively reported by Reuters—highlighting China’s deepening footprint in African infrastructure and France’s waning influence in the region.
Kenya’s decision followed a government review of the contract terms, which officials deemed unfavorable. At the same time, these states are turning to alternative partners, particularly Russia, for security support, and to China for infrastructure and investment. The recent collapse of a €1.3 billion French highway deal in Kenya, now likely to be handed to a Chinese contractor, is emblematic of this broader continental pivot.
Source: Africabusinessinsider
