President Uhuru Kenyatta has signed a Sh18.74 billion agreement with French government to build Ruiru II Dam and Water Supply project to help address water issues in the nation.

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Speaking at a media briefing on Saturday, the president said that the project was initiated as a result of long-term mutual relationship between the two countries.

"We welcome an old friend who has chosen to trust in us because investments like these show true friendship and partnership in the development agenda," he said.

The agreement was signed April 2016 after Uhuru and French counterpart François Hollande signed five agreements that would inject about 250 million Euros into Kenya's economy.

President Kenyatta also welcomed the company to begin assembling their car brand in Kenya.

He observed that the plant will create job opportunities and promote sale of locally assembled vehicles in tandem with the 'Buy in Kenya, Build in Kenya' slogan.

"We welcome an old who has chosen to trust in us because industries and investments in the country are on the rise," he added.