EU extends Ksh.520B loans, grants to support Big Four Agenda

The European Union (EU) has advanced Kenya Ksh.520 billion in loans and grants over the next five years.

The funds, government says will be key in supporting President Uhuru Kenyatta’s Big Four Agenda.

According to the EU Ambassador to Kenya Stefano Dejak, Phase 1 brought together 10 EU countries to coordinate debt in Kenya from 2014 to 2018.

Second phase will be to support the Big Four Agenda with 12 countries contributing directly to strategy, even those who have no active cooperation.

The monies will be channeled to four key areas with infrastructure taking the largest portion at Ksh.270 billion shillings where focus will be on energy, water transport and housing infrastructure.

Employment creation will receive Ksh.104 billion.

“Employment creation especially in skill development, SMEs, agribusiness, trade and investment support has a component in value addition…..We are already working on several products to value add,” said Henry Rotich, CS, National Treasury.

As the fight against graft remains a key action point in President Uhuru Kenyatta’s second term, promoting accountability and good governance, will receive funding to the tune of Ksh.61.9 billion under the EU deal.

In a bid to beef up food security the Union will lend Kenya Ksh.44.7 billion for resilience building.

Other areas in migration and security will also be considered.

“…But could also expand to others sectors, such as environment, climate change, migration, forced displacement, peace and security…” said Ambassador Dejak.

The support will cover the period between 2018-2022.