Mombasa, Lamu Ports Set for Private Investment as Kenya Approves PPP Plan

Kenya has cleared the way for private investment in key Mombasa and Lamu port assets after the Public-Private Partnership (PPP) Committee approved feasibility studies for four major port facilities.

In a statement on Thursday, August 27, 2026, PPP Directorate Director General Kefa Seda said the approval covers Mombasa Berths 11–14, Mombasa Container Terminal 1, Lamu Container Terminal and the Lamu Special Economic Zone, moving the projects from the feasibility stage to procurement.

“Yesterday marked an important progression in Kenya’s port infrastructure investment program, following the PPP Committee’s approval of the feasibility studies for Mombasa Berths 11–14, Mombasa Container Terminal 1, Lamu Container Terminal, and the Lamu Special Economic Zone,” Seda said.

The approval now allows the Kenya Ports Authority (KPA) to advance the first phase of the transactions to competitive procurement. Market engagement will begin in September 2026.

Mombasa, Lamu Port Assets Enter First Investment Phase

Under the first phase, KPA will pursue three transactions involving the Mombasa, Lamu port assets. It will seek a concession for Mombasa Berths 11–14 and another for Mombasa Container Terminal 1.

At the same time, KPA will combine the Lamu Container Terminal and the Lamu Special Economic Zone under an integrated concession.

“The approval moves these strategic port assets from feasibility into the procurement stage under the PPP framework,” Seda said.

The government also plans to progressively transition the Ports of Mombasa and Lamu towards a landlord-port model.

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Through the model, private investors will provide capital, technical expertise and operational capacity, while KPA will retain public ownership and strategic oversight of the port assets.

“With this approval, KPA can advance the Phase 1 transactions to competitive procurement, with market engagement scheduled to commence in September 2026,” Seda said.

Private Capital Targeted for Port Expansion

The government expects the investment programme to attract long-term private capital, expand port capacity and improve Kenya’s logistics competitiveness.

In turn, the Mombasa, Lamu port assets programme could strengthen the country’s position as a regional trade and investment gateway.

Meanwhile, Seda said feasibility work on a second phase of port assets was underway as the government develops a broader pipeline of bankable infrastructure opportunities.

“In parallel, feasibility work on the second phase of port assets is underway, sustaining the momentum toward a broader pipeline of bankable port infrastructure opportunities,” Seda said.

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Furthermore, the government will publish the required information and engage stakeholders as the procurement process moves forward. The process will also allow potential investors to assess the opportunities before competitive bidding begins.

“The procurement process will be accompanied by the requisite public disclosures and stakeholder engagement in accordance with the Directorate of Public-Private Partnerships legal framework,” Seda said.

The government, however, will not transfer ownership of the Mombasa, Lamu port assets to private investors. Instead, it will use concession arrangements to bring in private capital, technical expertise and operational capacity while KPA retains public ownership and strategic oversight.

The latest move therefore marks a shift from feasibility studies to the next stage of attracting private investment, with the first market engagement expected in September 2026.

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Photo of the Shipping Containers at the port of Mombasa. PHOTO/KPA