Kenya is leaning more heavily on Chinese development financing as support from some traditional Western partners — notably the United States — has weakened in recent years, Daily Nation reported.

The trend was highlighted at a Nairobi seminar this week organised by the Chinese Embassy and China International Development Cooperation Agency (CIDCA), where the Kenyan government reaffirmed its commitment to Beijing’s Global Development Initiative (GDI).

The GDI is a multilateral cooperation framework announced by President Xi Jinping in September 2021. It aims to accelerate progress toward the UN Sustainable Development Goals (SDGs) by supporting small- and medium-scale development projects in partner countries.

Officials described the platform – which focuses on poverty reduction, food security, public health, education, clean energy, climate adaptation, digital innovation, and industrialisation – as increasingly important for filling financing gaps in national programmes aligned with Vision 2030, the country’s long-term national development blueprint.

Chinese Ambassador to Kenya Guo Haiyan characterised the GDI as a “global public good” endorsed by over 130 countries and international bodies, with China having invested more than $23bn over four years.

Daily Nation quoted her as saying that, “at a time when development financing from some quarters is waning, GDI provides a practical alternative based on equality, mutual benefit and respect for national priorities.”

Her comments follow reductions in selected USAID sectoral allocations and uncertainty around the future of the African Growth and Opportunity Act (AGOA), which has long underpinned Kenyan textile and agribusiness exports to the U.S. market.

Kenya’s closer cooperation with Beijing also comes amid a tightening global financing environment. UN agencies have warned of a multitrillion-dollar global gap in funding required to meet the Sustainable Development Goals (SDGs) by 2030. The shortfall has compelled developing countries to seek diversified external partners, including through bilateral arrangements.

China remains Kenya’s dominant bilateral creditor. Treasury debt bulletins show Beijing accounts for roughly 64% of Kenya’s bilateral external debt stock — around KES1.1 trillion ($8.46bn) by mid-2025. Bilateral trade reached KES530bn ($4.08bn) in 2024, according to The Star.

Flagship infrastructure delivered through earlier waves of China–Kenya cooperation includes the Standard Gauge Railway (opened in 2017), the Nairobi Expressway (2022), the Thwake Dam, and the Garissa Solar Plant (2018). Collaboration has since widened to manufacturing, energy, agriculture, health and digital technology.

As bne IntelliNews reported, China and Kenya have also been discussing expanded zero-tariff access for Kenyan exports, offering Nairobi potential alternatives as AGOA’s future remains uncertain.

Meanwhile, Guo said that under the GDI, more than 1,800 projects had been launched in areas including poverty reduction, food security, climate resilience, digital innovation and industrialisation.

CIDCA plans to expand the initiative with 2,000 additional “small and beautiful” livelihood projects — the agency’s official term for compact, high-visibility interventions — over the next five years, alongside support from an expanded South-South Cooperation Fund.

Deputy Director-General for Political and Diplomatic Affairs Lucy Kiruthu said that Kenya valued “a cooperative platform that allows countries to share experiences and implement sustainable, impactful projects.” Daily Nation also reported that officials emphasised the GDI’s compatibility with Kenya’s long-term development framework.

Kiruthu called for broader participation from other partners, including UN agencies, saying Kenya remained committed to mobilising diverse sources of finance to bridge development gaps. Nairobi would continue working with Beijing and other “like-minded partners” to advance sustainable development and ensure no country is left behind, she said.