NAIROBI – The Kenyan government is negotiating with Brazil’s National Social Development Bank (BNDES) for a $2 billion loan to carry out several projects, media reports said Sunday.
Kenyan President Mwai Kibaki, who traveled to Rio de Janeiro for the U.N. Conference on Sustainable Development, known as Rio+20, met with BNDES chief Luciano Coutinho.
Kibaki told Coutinho that Kenya was seeking the funds to carry out projects in priority areas, such as agriculture, energy and infrastructure, the Daily Nation newspaper said.
The Kenyan government wants to expand the roads around Nairobi, the country’s capital, where attacks frequently take place, Kibaki said.
Kenya needs the loan from the BNDES to finance sugar, ethanol and power projects, Kibaki said.
Coutinho had announced before Kenya made its request that the BNDES would provide an $80 million loan on soft terms to the African country.
The loan, which will be used to help modernize Kenyan agriculture, will be expanded to $150 million to build roads, Coutinho said.