Kenya's Ruto Announces $16 Billion Investment in Lamu Refinery

On September 30, 2026, Kenyan President William Ruto announced the government's intention to invest in the proposed KSh2.2 trillion ($16 billion) Lamu oil refinery during a groundbreaking ceremony in Lamu. The investment will be facilitated through the National Infrastructure Fund and will involve deploying state assets, including land.

This financing model represents a shift from traditional government borrowing for infrastructure projects. Aliko Dangote, the Nigerian billionaire developing the refinery, indicated that the facility would generate up to 1,000 megawatts of electricity, produce one million tonnes of polypropylene, and include base-oil production.

The refinery is designed to process crude from Kenya’s Turkana oilfields and other African sources, aiming to decrease the region's dependence on imported petroleum products. Additionally, plans are in place for Kenyans to purchase shares in the refinery via the Nairobi Securities Exchange, promoting local ownership.