Investigations will be launched on why Mombasa Port was allegedly listed as collateral for a loan the government secured from China’s Exim Bank.
The government secured a loan of Kshs227 billion, of which failure to pay may see China take over Mombasa Port.
National Assembly Committee chairman Abdullswamad Nassir on Thursday indicated that there would be thorough investigations as to why and how the agreement was signed.
“We want to know how the agreement was signed and on what basis and how much has already been paid,” noted Nassir.
The Public Investment Committee and the Kenya Ports Authority (KPA) management team will meet to discuss the details surrounding the loan.
Exim Bank would become a principal owner of the port if Kenya Railways Corporation (KRC) defaults in repaying Ksh227 billion borrowed to build the SGR according to a management letter by the Auditor-General Edward Ouko.