Kenyan President William Ruto has ordered the cancellation of two major deals with India’s Adani Group.
The move comes after the US indicted Gautam Adani, the group’s founder, on charges of bribery and fraud.
The first deal, worth nearly $2 billion, involved the expansion of Kenya’s main airport.
Adani Group was set to add a new runway and upgrade the terminal in exchange for a 30-year lease.
The second deal, valued at $736 million, was for the construction of power transmission lines.
This public-private partnership was also set to last for 30 years.
President Ruto cited “new information provided by investigative agencies and partner nations” as the reason for the cancellations.
The decision has been widely welcomed in Kenya, where the deals had faced significant public scrutiny and criticism.
The Adani Group has denied the US allegations and stated its intention to pursue legal action.
However, the cancellation of these deals in Kenya is a major setback for the conglomerate.
Legal experts suggest that the Adani Group may attempt to challenge the cancellations through arbitration.
However, given the serious nature of the allegations and the public sentiment in Kenya, the group’s chances of success are uncertain.
