Norfund Invests $307M in Kenya’s Electromobility

  • The Norwegian investment fund will inject significant funds into Kenya’s electromobility sector, focusing on the start-up BasiGo.
  • The start-up plans to assemble 1,000 additional electric buses for Kenya and Rwanda, creating at least 300 jobs for young Africans.
  • Trade between Norway and Kenya increased by 30% from 2021 to 2022, with around 45 Norwegian companies now operating in Kenya, primarily in agritech and renewable energy.

Norwegian investment fund Norfund has announced a $307 million investment in Kenya’s electromobility sector, focusing on the start-up BasiGo. Norway’s Foreign Affairs Minister revealed the investment during his visit to Nairobi.

Kenya’s green mobility sector continues to increase, attracting international investors. Supportive tax incentives and new electric vehicle assembly plants drive this trend, which is highlighted by Norfund’s substantial investment.

BasiGo has already supplied 24 electric buses to Kenyan public transport operators. BasiGo’s CEO, Jit Bhattacharya, welcomed the Norwegian Minister of Foreign Affairs at their Buruburu site to discuss a strategic partnership for low-pollution, cost-effective transport.

“Trade between our countries increased by 30% from 2021 to 2022. About 45 Norwegian companies operate in Kenya, mainly agritech and renewable energy. Our visit to BasiGo shows Oslo’s commitment to regional growth through strategic investments. We anticipate future opportunities, especially in e-mobility,” said Minister Espen Barth Eide.

BasiGo’s fleet includes 25-seat K6 and 54-seat E9 Kubwa electric buses. The start-up plans to assemble 1,000 more units for the Kenyan and Rwandan markets in the next few years. This investment will create at least 300 jobs for young Africans, with further growth expected through Norfund’s support.

Norfund’s investment aims to enhance Kenya’s green mobility. The country’s government actively promotes electric vehicles and related infrastructure. The collaboration with BasiGo aligns with these goals, aiming to reduce pollution and improve public transportation.

Kenya has become a regional leader in green technology, attracting investments from various international partners. The government’s policies and incentives have created a favourable environment for start-ups and established companies.

BasiGo, focusing on electric buses, leads this movement. The company’s efforts to expand its fleet and infrastructure are crucial for the country’s sustainable development goals. Norfund’s investment will accelerate these initiatives, providing much-needed capital and expertise.

The partnership between Norfund and BasiGo represents a significant step towards a greener future for Kenya. It underscores the importance of international cooperation in addressing global environmental challenges. As Kenya continues to develop its green mobility sector, investments like these will play a critical role in shaping the country’s future.

Norfund’s $307 million investment in Kenya’s electromobility sector, particularly in BasiGo, boosts the country’s green mobility ambitions. With supportive government policies and international partnerships, Kenya is well-positioned to become a leader in sustainable transportation.

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