MP Ndindi Nyoro opposes National Infrastructure Fund, warns it will fuel more borrowing

Kiharu Member of Parliament Ndindi Nyoro has opposed the establishment of the National Infrastructure Fund, which was assented to by President William Ruto on Monday, saying it could open the door for more borrowing instead of promoting genuine development projects.

Speaking during the official opening of the new Mwai Kibaki Senior School in Gaturi ward, Nyoro stated that the country is currently borrowing about Ksh.1.5 trillion annually, warning that the growing debt continues to increase the financial burden on Kenyans. 

Nyoro criticised the new fund, arguing that it could allow the government to borrow additional funds outside the normal budget framework.

“As we talk, Kenya is borrowing about Ksh.1.5 trillion… hii kizungu mingi tunapewa ati for every Ksh.1 Kenya wants to crowd in another Ksh.12; it is another name for saying for every Ksh.1 Kenya wants to borrow another Ksh.12,” he said, cautioning that continued borrowing risks worsening the country’s debt situation.

“That fund is meant to borrow more money outside the budget. It is not good to continue burdening Kenyans now and still burden them tomorrow. Let’s stop overborrowing."

He faulted the leaders affiliated with the government, warning that the country risks accumulating unsustainable debt.

“To our leaders, who has told you that Kenya is going anywhere such that you want it to carry the debt burden mpaka ivunjike? Yes, we want development now, but we also want it in posterity,” he added.

The MP further lamented that social investments such as education have already been affected by low funding, noting that the situation has crippled the education sector.

The remarks come a day after President Ruto signed into law the National Infrastructure Bill, 2026, which establishes the Ksh.5 trillion National Infrastructure Fund that is aimed at financing key development projects across the country.

The law, sponsored by National Assembly Majority Leader Kimani Ichung’wah, seeks to shift infrastructure financing towards an investment-led model designed to attract private capital into large-scale national projects.

According to the government, the fund will operate as a corporate investment vehicle rather than a traditional government fund, with plans to mobilise about Ksh.5 trillion over the next 10 years to finance infrastructure projects such as roads, railways, ports, irrigation and energy.

President Ruto said the expansion of the Jomo Kenyatta International Airport (JKIA) will be the first project undertaken under the fund, structured with approximately Ksh.20 billion in equity participation from the NIF and domestic institutional investors.

The President noted that the model mirrors similar infrastructure funds used globally, including in Nigeria, Ghana, India, Canada, the United Kingdom and South Africa, which have been used to mobilise private capital for national development projects.

Among projects listed as potential beneficiaries of the fund are the Loosuk–Lessos power transmission line, the Galana-Kulalu irrigation project, the Rironi–Naivasha–Mau Summit highway and the extension of the Standard Gauge Railway to Malaba.