Kenya has finalized a major agreement designed to safeguard more than Ksh260 billion ($2 billion) in foreign investments from political and economic risks, just days after widespread protests raised alarm over the country’s investment environment.
The deal was signed between the Nairobi International Financial Centre Authority (NIFCA), under the National Treasury, and Africa Specialty Risks (ASR), a global underwriter known for its access to AA-rated international reinsurance capacity.
The agreement was formalized during the Africa Debate Forum in London, with NIFCA CEO Daniel Mainda and ASR’s Chief Distribution Officer Amit Khilosia signing the pact, Business Insider reported.
Treasury Cabinet Secretary John Mbadi and Industry CS Lee Kinyanjui witnessed the signing, reflecting strong government backing.
ASR will provide de-risking support for projects worth up to Ksh260 billion across the country, a move expected to lower the cost of capital, speed up deal execution, and unlock funding for key sectors including infrastructure, logistics, energy, and trade.
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This initiative comes in direct response to investor concerns over political, regulatory, and economic instability that have kept some foreign capital on the sidelines.
Following the protests that shook investor confidence and highlighted public discontent, the deal represents a strategic effort to restore stability and signal Kenya’s commitment to maintaining a secure and predictable investment climate.
Beyond foreign direct investment, the agreement is also expected to boost growth in Kenya’s specialty insurance and reinsurance markets and provide broader macroeconomic support during periods of disruption or shock.
Such a large-scale de-risking arrangement is rare in African markets and places Nairobi among a select group of cities actively working to reduce barriers to investment.
Kenya also signed additional agreements at the forum, including one with Bupa Group to promote healthcare investment and another with Africa Finance Corporation to support infrastructure and green finance.
The government says these moves align with Kenya’s long-term sustainability goals and regional development strategy, positioning the country as a hub for forward-looking investment.
According to the Treasury, this marks a new chapter for Kenya’s financial services sector, helping to unlock capital for reinsurance, healthcare, infrastructure, and sustainable finance.
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Image Credit: Business Insider Africa
