China’s top diplomat Wang Yi during a visit to Kenya on Saturday praised the two countries’ economic partnership as a “win-win”, according to a statement from the Chinese authorities.

Kenya and China have “become good friends with mutual trust in politics and good partners with win-win economic cooperation”, according to the statement from the Chinese embassy in Kenya.

With the most dynamic economy in East Africa, Kenya is considered by the international community as a stable democracy in a troubled region.

China is the second-largest donor to Kenya after the World Bank.

In Mombasa, on the Kenyan coast, China is financing the construction of a new terminal in East Africa’s largest port.

China has also loaned $5 billion  (4.7 billion euros) toward the most expensive infrastructure project in the country since its independence in 1963: a train line that since 2017 has connected the port city Mombasa with Naivasha, in the Rift Valley, via the capital Nairobi.

“The landmark project of the Mombasa-Nairobi Railway has completely changed the face of Kenya,” the embassy’s statement said.

Kenyan President William Ruto, elected last year, in a tweet, stressed “our commitment to strengthening the Kenya-China strategic partnership centred on infrastructure development, climate change”

But China is often accused of using its creditor status for gaining diplomatic or trade concessions, raising concerns about many African countries’ ability to assume the debts contracted.

China, the world’s number two economy, rejects practising “debt-trap diplomacy” as an unfair criticism from Western rivals who have themselves burdened nations with huge debts

Kenya’s economy is particularly burdened by debts of $70 billion, around 67 percent of its GDP.

After visiting Kenya, Wang will visit South Africa on July 24 and 25 ahead of the BRICS summit next month, a group that includes South Africa, Brazil, China, India and Russia.

Kenya’s Kenya Development Corporation (KDC) has committed to accelerating credit provision to spur economic growth and development through innovative financing mechanisms.

The Cabinet Secretary, Ministry of Investments, Trade, and Industrialization, Hon. Moses K. Kuria, emphasized the importance of leveraging its enterprise value as a Development Finance Institution to attract Foreign Direct Investment (FDI).

“The Government recognizes KDC is an Important enterprise value as a development finance partner in reviving the economy’s production. I have challenged them to redefine itself as a reputable Development Financial Institution (DFI) partner of choice and Kenya’s Sovereign Wealth Fund.”

The meeting brought together key stakeholders to explore opportunities for partnership in establishing credit lines that will facilitate onward lending to crucial sectors of the Kenyan economy.

KDC Board Chairman Hon. Dr. Sakwa Bunyasi emphasized the importance of this collaboration to enable KDC to provide financial resources to vital sectors of the economy.

The proposed credit lines will serve as a catalyst for economic progress, allowing KDC to facilitate access to affordable financing for key sectors that drive economic growth and employment in Kenya.

The partnership with development partners will help KDC achieve its mandate by providing the necessary funding to support SMEs.

KDC Director General Norah Ratemo said the credit line initiative will open up new avenues for collaboration, innovation, and collective efforts to address the socio-economic challenges Kenyan entrepreneurs face while trying to scale their enterprises.

The event also highlighted Kenya’s attractive investment opportunities for both local and international investors, with its strategic geographical location, conducive investment environment, predictable tax regime, and young and dynamic workforce making it a compelling investment destination for those seeking to positively impact the African continent.