Moderna, a US pharmaceutical and biotechnology firm has suspended its plans to build a vaccine manufacturing facility in Kenya.
According to the company, the decision follows a significant drop in demand for the vaccine from African countries in the last few financial years.
Moderna pointed out that the uptake of its Coronavirus disease (COVID-19) drugs had declined prompting the decision to suspend the setting up of the manufacturing hub in Kenya.
Moreover, the giant vaccine manufacturing company revealed that it had made a loss of Ksh129.99 billion ($1 billion) following the cancellation of the orders.
Read More
"Given this, and in alignment with our strategic planning, Moderna believes it is prudent to pause its efforts to build an mRNA manufacturing facility in Kenya," the company said.
The company had pledged to inject Ksh65 billion ($500 million) towards setting up the manufacturing facility in Kenya.
After reaching an agreement with President William Ruto's administration, it was set to acquire a 5 to 10-acre piece of land in the Tatu City Economic Zone.
Ruto had lauded the American company for choosing to set up the plant in Kenya indicating that it was one of a kind.
“I want to highlight the medical and pharmaceutical sector where I have a major announcement to make. It is with pleasure that I announce a finalised deal between Moderna and the Government of Kenya to build a $500 million mRNA vaccine facility in Nairobi area,” he said.
“This will be the only such facility on the African continent and, for Moderna, their first factory outside the United States. Moderna’s investment will be a catalyst for the medical and pharmaceutical industry in Africa. This is historic. This is big. This is my administration’s vision for the future of Kenya.”
-1728108852.jpg)
