Bank backs Chinese businesses investing in Kenya

Entrepreneurs participating in the Belt and Road Initiative (BRI) are set to surge on the back of additional financing of $20 billion by 2020 committed by Standard Chartered Bank, said Kariuki Ngari, the CEO of Standard Chartered Kenya, on Monday.

The move promises to shift focus from government-to-government engagement in multi-billion infrastructure projects to private-to-private businesses that will sustain the implementation of the ambitious project, said Ngari. The chief executive revealed that this financing will be available to Chinese businesses investing in Africa and, in particular, Kenya.

"We will support Chinese businesses setting up here because the move would generate new jobs and have a positive impact to the economy. We want companies to take advantage of this initiative and we are here to support them," said Ngari.

He revealed that Standard Chartered has been involved in nearly 100 Belt and Road projects with more than 50 percent of the projects in transport infrastructure covering mostly African and South Asian countries.

How much would be spent in Kenya will depend on the number of projects initiated, he said. He added that the bank would also help Kenyan businesses that plan to establish a presence in China. "We will also help local entrepreneurs scale up across the border into China," he said.

Ngari spoke at the Karura Forest Reserve where he flagged off the Belt and Road relay, which aims at increasing visibility of the bank's continued commitment to the China-led initiative. The counselor in the Chinese embassy in Kenya, Wang Xuezheng, was also present.

"The BRI initiative is the most ambitious and far-reaching project of its kind in the world today. We are present in two-thirds of the BRI markets and our rich heritage, deep local knowledge and unparalleled connectivity mean that we are ideally placed to help our partners, clients and communities make the most out of the initiative," said Kariuki.

"The BRI promises to boost the economic and social development of the people of the host countries. In late April, the second BRI Forum for International Cooperation will be held in Beijing which we believe will be a big gathering for many heads of state and another milestone in the BRI international cooperation," said Wang.

The relay is led by eight staff athletes from Standard Chartered selected from its Asia, Africa, Middle East, Europe and the Americas offices. The project kicked off in China's Hong Kong Special Administrative Region on Feb 17 and will end in a Chinese mainland city on May 11 following the Belt and Road Forum. The athletes are expected to run across 44 markets within a 90-day period.

More than 50 participants were in the 10-kilometer Kenyan leg. Coming in first was Paralympic marathon winner, Henry Wanyoike, who finished in 38 minutes. He was followed by the Ugandan Henry Kambugu, who cleared the finish line in 58 minutes.

The next stop will be in Mauritius in three days.