The National Treasury today hosted the official handover ceremony for the final report from the Committee of Experts (CoE) on Mobilizing Domestic Capital for Public-Private Partnerships (PPPs). The ceremony was presided over by Principal Secretary Dr. Chris Kiptoo at Serena Hotel, marking a significant milestone in Kenya’s infrastructure development agenda.
The Committee of Experts, established on February 3, 2025, was tasked with exploring, designing, and recommending strategic policies, legal, regulatory, and administrative reforms to accelerate the mobilization of long-term capital from local financial markets to finance PPP projects.
In his remarks during the ceremony, Dr. Chris Kiptoo emphasized the importance of the committee’s work in strengthening Kenya’s economic foundation. Since 2013, Kenya has successfully mobilized approximately KES 140.7 billion in private capital through PPPs. However, this represents only a fraction of what can be achieved by effectively harnessing our domestic capital markets,” said Dr. Kiptoo. He said the report provides a clear roadmap to unlock the immense potential that exists within our local financial ecosystem. “As the National Treasury and Government, we’re giving ourselves one month to review the report and provide a clear pathway for its implementation”, added Dr. Kiptoo.
The committee’s overarching strategic recommendation is the establishment of the PPP Implementation Trust Fund (PPP-ITF) as a centralized vehicle for mobilizing and deploying domestic capital for PPP projects. The PPP-ITF aims to pool long- term domestic institutional capital, such as pension and insurance funds, to finance both the construction and operation phases of PPP projects, ensuring predictable investor returns and reducing reliance on sovereign guarantees.
Dr. Hosea Kili, Chairman of the Committee of Experts, highlighted the transformative potential of the proposed trust fund. “The PPP-ITF represents a paradigm shift in how we finance our nation’s development,” noted Dr. Kili. “By creating a structured mechanism that aligns the interests of institutional investors with national development priorities, we can build sustainable infrastructure while generating consistent returns for Kenyan savers and pensioners.”
Eng. Kefa Seda, Director General of PPP at the National Treasury, added, “All other recommendations in this comprehensive report are designed to support, operationalize, and enhance the effective implementation of the Trust Fund. The PPP-ITF will leverage financing from the public sector, either from the national government or contracting authorities, to match private sector funding, thereby enhancing the viability and sustainability of infrastructure investments.” Noted the DG, “We are aware that aspects of the report will require legislative amendments, while specific sections will easily be implemented through administrative actions. Let me assure you that the Directorate fully supports the initiative and will put in all efforts to implement the agreed recommendations”.
The report outlines detailed implementation strategies, governance frameworks, and risk mitigation measures to ensure the successful operationalization of the PPP-ITF. The National Treasury will now begin the process of reviewing the recommendations and developing an action plan for their implementation.
The handover ceremony was attended by representatives from key financial institutions, pension funds, insurance companies, development partners, and government officials.
Download the CoE Report:Reports & Publications
