Kenya negotiates with China to fund US $5.4bn Naivasha-Malaba SGR line

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Kenya has begun negotiations with China for the financing of the Naivasha-Malaba SGR (Standard Gauge Railway) line valued at US $5.4bn.

While addressing the country in parliament, President Uhuru Kenyatta revealed that the country is discussing with china to fund the construction of the third phase of the SGR line.

China is currently financing the second phase SGR line from Nairobi to Naivasha which is valued at US $1.50bn. The Construction work should be completed in December 2019 as per the government’s expectations, but a review in the plans showed it will be completed three months before the set deadline. Both the rail and the special economic zone should be operational by the end of 2019.

The Standard Gauge Railway between Mombasa and Malaba will be part of the East African Community protocol for the development connecting the port of Mombasa to Kampala, Kigali and juba

“We cannot hope to attract investments and create jobs and prosperity without radical renewal and improvement in our infrastructure and connectivity,” said Kenyatta

So far the first phase of the project from Mombasa to Nairobi is completed and since then over 700,000 passengers have boarded, whereas the SGR cargo services is currently loading 22,345metric tonnes a month.

The other four contracts set for developments include Naivasha- Kisumu, Kisumu-Malaba, Kisumu Port Development and Modernization and expansion of the Inland Container Depot at Embakasi in Nairobi.

The entire network is supposed to be in operation by December 2018 and member states are working towards meeting the timelines of the directive.