NAIROBI - China and Kenya on Wednesday signed an agreement of an approximately $17 million Chinese grant to finance three projects in Kenya, including the repatriation of Somali refugees.

Part of the grant will be used for the construction of the largest Confucius Institute in Africa which will be hosted at the University of Nairobi, Cabinet Secretary for the National Treasury,

Henry Rotich, told a media briefing in the capital Nairobi.

"The Confucius Institute will be an important center for the dissemination of Chinese culture in Kenya and Africa," Rotich said during the signing ceremony.

Chinese financial support is a strong indication of the cordial bilateral relations between the two countries, he said, adding that the growing status of China has made it essential for understanding Chinese culture.

The grant will also fund refurbishment work on Kenya's main stadium, Moi International Sports Center, which was completed in 1987 as a donation given by the Chinese government. Chinese engineers will be sent to maintain the facilities and train local workers during the process.

China will also offer humanitarian support for the repatriation of Somali refugees who are currently living in Kenyan refugee camps, and the funds will be used in supplying tents in the resettlement of the refugees back in Somalia, Rotich revealed.

The grant follows a series of economic and technical cooperation agreements signed between the two governments last year.

Chinese Ambassador to Kenya Liu Xianfa, at the ceremony, said the governments are considering more projects that will benefit peoples of the two nations.