The Chinese government has granted Sh6billion to Kenya for the connection of counties to the national terrestrial fiber backbone. The money is a loan through the China Export-Import (Exim) Bank on concessionary terms and will also go toward implementing e-government projects.

Treasury permanent secretary Joseph Kinyua made the announcement when he met with a Chinese delegation led by vice-minister for Commerce Chen Jian to sign a framework agreement on the provision of the concessional loan. "The proceeds will be specifically applied for the construction of fiber links to connect Nairobi City with former provincial headquarters to the core ring network, and via fiber broadband, connect 36 administrative district centres," PS Kinyua said.

In response, Chen said the government of China would continue to support projects in Kenya based on need and negotiations with Chinese financial institutions.

Kinyua asked China to consider investing in the Sh21bn project to put up three berths at the Lamu Port. "We shall be discussing more on our future areas for cooperation during the session on bilateral talks today," the PS said. Kinyua added that the government will also be seeking additional support for geothermal exploitation in the Rift Valley and road projects.