President Uhuru Kenyatta and Raila Odinga are set to China to
secure Sh380 billion funding for the Naivasha-Kisumu standard gauge railway.
The planned visit comes after a high-powered delegation, comprising officials from the Treasury, Kenya Railways Corporation, Ministry of Transport and State Law Office had an advance meeting last week to hammer out finer details of the scheduled borrowing ahead of the official signing.
Kenya is expected to complete the second phase of the project running from Nairobi to Naivasha by mid this year. It will cost $1.7 billion (Sh170 billion).
The current diplomatic cooperation arrangement between Kenya and China covers several areas.
The People’s Republic of China established diplomatic relations with the Republic of Kenya on the day of December 14, 1963.
Kenya and China trade diplomatic relations have significant historical dimensions, starting with the Ming Dynasty. China views Kenya as a gateway to the region and it has become a key focus of China‟s trade and economic strategy in Africa.
This research sought to explore the impacts of China trade, foreign aid and direct investment on Kenya‟s social and economic development. The main objective of the study was to establish the effect of China-Kenya economic ties on social and economic development in Kenya.
Chinese relations with African countries have been positive in some ways; serious questions are being asked by Western and African intellectuals about China‟s tactics and strategies in its quest for resources.
China views Kenya as a gateway to the East African region and is a focal point in terms of China‟s trade and economic strategy in Africa. China‟s investment in a number of road construction projects attests to this.
More so China currently offers loans to Kenya for hospital and schools construction in less developed areas, it has set malaria prevention and control centers as well as providing volunteers to train the local people.
It has been noted that monetary aid from China is tied to the use of Chinese goods and services and the only adherence required is the “One China” policy but not “good governance” as the conditionality‟s that currently characterize the western donors.
With increased China loans experts believe that the Kenya Economy is set to benefit much as more job opportunities are set to increase as the crime rates reduce.