South Korea has set up its overseas construction promotion arm in Kenya to play a central role in infrastructure deals in Africa.
The Korea Overseas Infrastructure and Urban Development Corporation (KIND) will use its Nairobi office to push for a piece of the countries mega infrastructure deals currently dominated by China and use the country as a stepping stone to the rest of Africa.
Kenya now becomes the Korean corporation’s fourth overseas office after Indonesia, Vietnam and Uzbekistan, signalling the strong attraction to the country for infrastructure deals.
KIND Executive Vice President Han Kyu Lim said the organisation which supports Korean companies for project planning, feasibility studies, project information and project bankability will soon be a major player in the continent through financed projects and Public-Private Partnership (PPP) business models.
“We are looking into four major deals this year and Kenya is both strategic and still full of business opportunities considering the infrastructure gaps that exists within the country and its neighbours. Our PPP models means we are part of the investment and this is going to be a game changer,” Mr Lim said.
The Korean firm also signed a memorandum of understanding with the Eastern and Southern African Trade and Development Bank (TDB) to facilitate financing of the infrastructure deals that will come from the region as its settles in Nairobi.
TDB President and Chief Executive Admassu Tadesse said the bank, which has also arranged $4.2bn in sovereign loans to finance various infrastructure activities in the region, will work with the Korean firm to narrow the huge infrastructure gaps in Kenya and Africa.