Gautam Adani’s plan to run the Jomo Kenyatta International Airport in Kenya hit a roadblock after the country’s high court temporarily put a stop to it. The proposed takeover had kickstarted protests from aviation unions.
According to a report in Financial Times, Kenya’s High Court temporarily halted moves to transfer the management of Nairobi’s main airport to Adani Group, that was focussing on its expansion efforts overseas.
The report stated that the order blocked the 30-year lease to operate the Jomo Kenyatta International Airport, which is East Africa’s largest aviation hub.
The order comes as the proposed takeover in July sparked protests. The Kenya Aviation Workers Union also opposed the plans, citing job cuts and employment to foreigners.
Last month Kenya's main aviation union announced a strike over the proposed deal with Adani to develop the country's largest airport. The Kenya Aviation Workers Union, representing airport workers, said the agreement with Adani Airport Holdings would lead to job losses and bring in non-Kenyan workers.
In a seven-day strike notice, the union called on the government to scrap the "unlawful intended sale of JKIA (Jomo Kenyatta International Airport) to Adani Airport Holdings of India."
Kenya's government has stated that the airport is not for sale and no decision has been made on whether to proceed with what it described as a proposed public-private partnership to upgrade the hub.
(With Reuters inputs)