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Japan, Kenya partner on economic zone

Japan International Cooperation Agency
(JICA) is to support Kenya Ports Authority in the process of developing
the 7,413 acres Mombasa Special Economic Zone in Dongo Kundu, Likoni
constituency.
 
KPA acting managing director Daniel Manduku said they will construct one berth and a road on the proposed land.
 
The authority with the support of the
JICA is in the process of undertaking an environmental impact assessment
of the port infrastructure of Mombasa Special Economic Zone.
 
Mombasa residents have been invited to
share their views on the zone which would open up Mombasa to
multi-national industries and employ thousands of Kenyans.
 
“We have identified 3,000 hectares (
7,413 acres) owned by KPA in Dongo Kundu, where we shall develop a
special economic zone. We are already doing the feasibility to put up
the first berth and a road,” he said.
 
Manduku said Kenya must start developing
its own export market, because currently it stands at 15 per cent,
therefore the special economic zone shall encourage private sectors to
come in and set up export companies.
 
“In developing that SEZ, we shall
encourage the private sector to come and set up industries, which will
create a lot of job opportunities,” he said.
 
Manduku said the special zone is a big opportunity to Kenyans because a typical industry will employ between 200-300 people.
 
“One industry can sit pretty on a
hectare, how many companies can be built on 3,000 hectares, do your
math. Those will be very many companies that will provide employment to
our youth,” he said.
 
In 2016, Kenya secured Sh27.3 billion from Japan to construct an industrial and commercial hub in Dongo Kundu.
 
The first phase of the Special Economic
Zone, which is expected to alter the coastal town in infrastructure and
business, is scheduled to start next year.
 
The agreement was signed by the
governments of Kenya and Japan on the sidelines of the Tokyo
International Convention on Africa Development (Ticad).
 
Japan will finance the basic
infrastructure of phase one through a concessional loan of US$210.8
million and grant assistance of US$58.9 million.
 
The deal involves the development of
infrastructure, including one berth, access roads, transmission line,
water supply pipeline from the mainland and a substation, drainage,
power supply and a free trade zone.
 

Source: The Star Kenya
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