The World Bank’s Board of Executive Directors have approved US$50 million for the Kenyan Government to strengthen its capacity to manage the oil and gas sector.
The International Development Association (IDA), will concentrate on development measures to aggregate additional private investment in Kenya’s oil and gas industry, boost efficient production, manage the impacts and devote higher government oil and gas revenues for national development.
“The Government of Kenya acknowledges that the development of a successful petroleum sector is never about petroleum alone, but also about managing its impacts for sustainable development”,” said Diarietou Gaye, the World Bank’s Country Director for Kenya. “The World Bank supports the government’s efforts to streamline the petroleum sector to increase efficiency of decision-making related to policy formation, planning, investments, and private sector participation.”
The success of the project will ultimately stimulate economic growth with the promotion of petroleum activities,contributing to fiscal and foreign exchange revenues. It will increase vocational training capacity for the oil and gas sector in the country and in turn expand the availability of trained staff to the private sector.
“The project supports effective government management of the oil and gas industry through capacity building, technical assistance, training programs, and the development of a legal and institutional framework,” said Alexander Huurdeman, the World Bank Task Team Leader for the project.
“We are excited for its implementation and the potential to create sustainable impacts for Kenya, including the development of a petroleum industry, improved transport infrastructure, expanded power supply, job creation, and positive economic benefits from strategic investment of the revenues generated.”