Kenya Signs Ksh389 Billion MoU for Proposed Electric Vehicle Project

What changed

Kenya has signed a memorandum of understanding with Endelevu Enterprise Corporation for a proposed $3 billion electric-vehicle manufacturing and green-mobility project, valued at about Ksh389 billion. President William Ruto presided over the signing in Nairobi.

The proposal includes:

• An assembly plant producing 50,000 four-wheel vehicles a year
• A second plant for 100,000 two-wheelers and light mobility vehicles
• 1,000 solar-powered charging hubs
• A digital platform supporting up to 100,000 green vehicles

Why it matters

This would move Kenya beyond importing finished vehicles and toward assembling them locally. The government expects about 2,000 direct jobs, more than 20,000 indirect jobs among suppliers, logistics firms and service providers, and up to 80,000 further opportunities in fleet management, operations and services.

The plan also connects manufacturing to Kenya’s energy strategy. The country says its electricity supply is predominantly renewable, allowing electric vehicles to draw on geothermal, wind, solar and hydroelectric power rather than imported fuel. Kenya has also announced duty-free treatment for its first 100,000 imported electric vehicles in 2026, creating a bridge between early adoption and local production.

The proposal is significant because it puts vehicles, charging infrastructure and fleet management inside one investment framework. But the practical test is still ahead: financing, construction deadlines and final contracts have not been confirmed, so the announced production capacity remains a target rather than an operating industry.