Industry

Adani sets up unit as co sticks to runway of operating airport in Kenya despite protests



Adani Enterprises has launched a new company in Kenya to acquire and manage an airport as part of its global expansion. The newly formed entity, Airports Infrastructure, aims to take over the operations of Nairobi’s Jomo Kenyatta International Airport.

This venture is being carried out through Adani’s Abu Dhabi-based subsidiary, Global Airports Operator. The company has proposed investing $750 million by 2029 to build a new terminal and taxiway system, with an additional $92 million for further upgrades by 2035. If successful, this will be Adani’s first airport venture outside India, where it currently operates over six airports.

The move has sparked protests from Kenya’s transport workers, raising concerns over potential job losses. According to international media, about 10,000 members of the Kenya Aviation Workers Union initially planned to strike on August 19 against the deal. The union’s concern centers on the Kenyan government’s agreement with India’s Adani Group to expand and operate the airport.

Kenya’s government has justified the deal as essential for upgrading JKIA, one of Africa’s busiest airports, which frequently experiences power outages and leaks.

The Congress party has said that protests in Kenya over Adani Group’s proposed takeover of Nairobi airport is a matter of grave concern as it could turn into anger against India.

“The proposed takeover of Nairobi airport by the Adani Group has sparked widespread protests in Kenya. The Kenya Aviation Workers Union has called for a strike to protest. This is a matter of grave concern for India, as the non-biological prime minister’s friendship with Adani is now world-famous. The ongoing protests there could easily turn into anger against India and the Indian government,” Congress leader Jairam Ramesh said in a post on social network X (formerly Twitter).Also Read: ‘Like in Sri Lanka and Bangladesh’: Congress warns govt over protests in Kenya against Adani’s airport deal

Despite the protests, Kenya’s government has defended the deal, considering it essential for refurbishing Jomo Kenyatta International Airport. The airport is a significant hub in Africa and often faces issues like power outages and leaking roofs, making the refurbishment a critical step.

Adani Enterprises is known for incubating new businesses for the Ahmedabad-based conglomerate. As part of its long-term plans, the company intends to list its airport business, housed under wholly-owned subsidiary Adani Airport Holdings, on stock exchanges by fiscal year 2028.Meanwhile, other Indian firms are also active in international airport operations. Hyderabad-based GMR operates the Mactan Cebu International Airport in the Philippines and has bagged deals to run the Crete Airport in Greece and the Kualanamu International Airport in Indonesia.

The development in Kenya points to a broader strategy by Adani to expand its international footprint in the airport management sector, even as it faces domestic and international challenges.

(With inputs from ToI and agencies)



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