Inside Ksh52 Billion Package Ruto Secured For Kenyans During US Visit

Kenyans spanning various sectors are expected to reap big from a series of lucrative deals secured by President William Ruto following his high-profile visit to the United States (US) and meeting with President Joe Biden.

The two Heads of State signed multiple deals spanning different governmental and private sectors, benefiting finance and investments in the country. Moreover, the country is set to become the first sub-Saharan African country to be designated as a major non-NATO ally of the US.

Military Power

For this, Kenya is set to receive 16 US-manufactured helicopters, which are set to arrive between late 2024 and the summer of 2025 (June 2025).

White House noted that the choppers would bolster Kenya’s ability to provide regional peace and security and participate in peacekeeping missions. The 16 helicopters include 8 Bell Hueys and 8 MD-500s.

A fleet of Kenya Air Force attack helicopters. /US EMBASSY KENYA

White House also mentioned that Kenya has selected approximately 150 M1117 Armored Security Vehicles from U.S. Excess Defense Article stocks, which are projected to arrive in Kenya in September 2024.

Ruto's other bag of goodies for Kenyans consists of over Ksh52 billion ($395.15 million) from commitments that the U.S. state departments and agencies have made to Kenya, to support various development projects. The various partnerships, The White House announced, are founded on the 60-year ties the two nations have shared.

The money that the U.S has given Kenya or committed to will support the country in areas including Democracy, Human Rights, Governance; Health Partnerships; People-to-People Ties; Shared Climate Solutions; Trade and Investment; Debt, Development, and Sustainable Finance; Digital, Critical, and Emerging Technology Cooperation; and Peace and Security Cooperation.

Viral Tea examines how the multimillion agreements and deals will benefit you who is reading this:

The Plum Deals

Nearly Ksh5.3 billion ($40 million) has been allocated to Kenya for democracy, human rights, and governance and another Ksh93 million ($700,000) to support the operationalisation of the Public Benefits Organization Act. 

The U.S. Agency for International Development (USAID) announced an additional Ksh173 million ($1.3 million) for the youth empowerment program aimed at strengthening political engagement at the subnational level and Ksh80 million ($600,000) to advance disability inclusion.

America also intends to support Kenya’s Anti-corruption efforts with Ksh66 million ($500,000) for a new Fiscal Integrity Program, and another Ksh66 million ($500,000) to broaden the reach and effectiveness of anti-corruption advocacy.

“To support the Government of Kenya to combat corruption, the Administration is providing Ksh33 million ($250,000) through the Global Accountability Program, and Ksh40 million ($300,000) to support Kenya’s proposed Whistleblower Protection law to strengthen Kenya’s anti-corruption legal architecture. 

"In addition, USAID has provided Ksh358 million ($2.7 million) to support the improved enforcement of policy and laws that deal with fraud, waste, and abuse in the delivery of public services to Kenyan citizens,” the White House stated in part. 

The US also announced a new Ksh929 million ($7 million) partnership to advance and strengthen the modernization and professionalization of Kenya’s National Police Service. 

The United States of America also intends to provide Ksh650 million ($4.9 million) in new funding for Kenya and other East African countries to improve cooperation and coordination in combating criminal networks and holding criminals accountable.

Elections & Digital Superhighway

Also included are reforms in Kenya’s electoral process with Ksh199 million ($1.5 million) provided to support Kenya’s electoral process by strengthening the election commission, political parties, and campaign finance.

America will also support Kenya in developing the digital superhighway to enable a holistic view of health care delivery. Ksh4.1 billion ($31 million) will be provided to build and deploy digital health solutions to support disease programs in Kenya.

Loans, Education & Women Empowerment

Other investments that the U.S. will make in Kenya include a Ksh1.3 billion ($10 million) direct loan to Kenyan company Hewa Tele and two rounds of equity investment totalling Ksh531 million ($4 million) to Kasha Global. 

The U.S. will also support the Kenyan education sector by providing Ksh66 million ($500,000) to support the development of Kenyan students, scientists, researchers, and engineers.

“USAID intends to provide Ksh3.2 billion ($24.5 million) for the Kenya Primary Literacy Program (KPLP), a new nationwide early-grade literacy activity implemented in close partnership with Kenya’s Ministry of Education,” the White House announced.

Another Ksh40 billion ($300,000) will support women’s entrepreneurship and gender equity in the Kenyan energy sector and Ksh478 million ($3.6 million) committed to accelerating the connection of homes, businesses, and institutions in Kenya to cleaner electricity. 

Other investments will be in hydropower projects and a transition to zero-emissions vehicles in Kenya.

What of Private Companies?

Kenyan-owned private companies have also gotten a share of the goodies. For instance, a Ksh66 million ($500,000) technical assistance grant has been announced to build a proprietary credit scoring model to support Pezesha Africa Limited.

In addition, a Ksh6.8 billion ($51 million) loan will be issued to asset financing platform M-KOPA to support smartphone receivables and cash loans. This is aimed at enhancing the affordability of M-KOPA’s devices to low-income borrowers.