President Kenyatta Responds to Claims of Mortgaging Mombasa Port to China

President Kenyatta has trashed reports that the Mombasa port was used as collateral to secure Standard Gauge Railway (SGR) loan from China Exim Bank.

Speaking during a roundtable interview at State House, Mombasa, Kenyatta has termed the reports as propaganda, noting that the country is ahead on its repayment schedule for the loan.

“You have seen the Chinese Government say that nothing like that exists. If you want a copy of the contract we have with China I can get it to you tomorrow,” says President Uhuru.

President Uhuru explains that what exists is a deal between the Kenya Railways and Kenya Ports Authority (KPA) for transportation of cargo via the Standard Gauge Railway (SGR) where possible.

Kenyatta also says Kenya and China agreed on the movement of six cargo trains per day on the SGR in the first year of service but notes that the number has increased to 11, way beyond what was agreed.

The President maintains that the government will continue to borrow from China and other countries in order to develop the country.

“I will continue to borrow to develop the country,” he notes.

“We are opening up roads across the country and a railway line that never existed 50 years ago. The debt we are incurring is for development projects that will not only benefit this generation but future ones as well,” he adds.