President William Ruto has officially constituted the inaugural Governing Council of the National Infrastructure Fund (NIF), marking a major policy shift aimed at transforming how Kenya finances large-scale development projects.
The newly formed council, chaired by Treasury Cabinet Secretary John Mbadi, will steer the ambitious Sh5 trillion fund designed to mobilise private capital and reduce reliance on public debt.
The appointments, announced on April 1, 2026, follow the enactment of the National Infrastructure Fund Act, 2026, which lays the legal foundation for the new financing model.
A Shift From Debt to Investment-Led Growth
The establishment of the fund signals a strategic pivot by the government—from heavy borrowing to attracting investment from private and institutional sources.
According to officials, the NIF is expected to tap into pension funds, sovereign wealth funds, and global investors to finance commercially viable infrastructure projects across the country.
This approach is intended to ease pressure on Kenya’s public finances while accelerating the delivery of critical infrastructure.
Who Makes Up the Council
The seven-member Governing Council brings together key government officials and private sector experts with extensive experience in finance, law, and infrastructure.
Among the statutory members are Kamau Thugge, Governor of the Central Bank of Kenya, and Dorcas Agik Oduor.
The council also includes independent members such as Prof. Benedict Oramah, former Afreximbank president, Paul Russo, Faith Boinett, and Richard Etemesi.
The diverse composition is expected to provide both policy direction and technical expertise in managing complex infrastructure financing.
Key Mandate and Immediate Tasks
The council’s primary role will be to provide strategic oversight and ensure that investments are directed toward projects that are both economically viable and impactful.
Its immediate task will be to oversee the recruitment of a Board of Directors, which will then appoint a Chief Executive Officer to operationalise the fund.
Among the flagship projects expected to benefit from the NIF are major road networks, energy investments including a 10,000MW clean energy initiative, and the expansion of Jomo Kenyatta International Airport.
Funding Model and Economic Impact
The government has clarified that the fund will not rely on direct deductions from citizens. Instead, seed capital will come from the divestiture of government shares in selected state-owned enterprises, alongside private investments.
Officials say the long-term goal is to unlock sustainable financing while potentially easing the tax burden on Kenyans by reducing dependence on borrowing.
The formation of the National Infrastructure Fund Council is therefore seen as a cornerstone of Kenya’s broader economic strategy—one that seeks to combine public policy with private capital to drive growth, create jobs, and modernize infrastructure across the country.
