The plans for Africa’s largest toll road project, which is a 440-kilometer four-six lane dual carriage way that is set to link Nairobi and Mombasa, are gradually taking shape as Everstrong Capital which has been tasked with developing the project has commenced searching Funds for Usahihi Expressway.
The Usahihi Expressway, which loosely translates to “done correctly” in Swahili. This expressway project aims to reduce the travel time between the two cities in Kenya. Furthermore, it is expected to stimulate economic growth and also enhance regional connectivity.
Project Factsheet
Length: Approximately 440 kilometers.
Lanes: 4-6 lanes dual carriageway.
Type: Greenfield project.
Cost: Estimated at USD 3.6 billion.
Construction Duration: Expected to last 3-4 years.
Financing: Public-Private Partnership (PPP) with significant investments from American Development Finance Institutions, Kenyan private sector investors, and pension funds.
Revenue Model: Toll road with revenue coming from road users.
Environmental Features: Includes wildlife observation points, electric vehicle charging infrastructure powered by renewable energy, and overpasses designed to facilitate safe wildlife migration.
Economic Impact: Expected to generate hundreds of thousands of jobs and contribute to skill development, enterprise growth, and economic expansion.
Project Term: 30-year concession for construction, operation, and maintenance
How will the Usahihi Expressway Funds be Raised?
This comes right after Everstrong which is a US-based infrastructure company, made an announcement of planning to secure funding for the $3.5 billion initiative. The company has kicked off a race to raise funds from the local pension funds. Everstrong is expected to host a signing ceremony in Nairobi which will mark the Transaction Advisory and Placement Services Agreement. This marks a very crucial milestone for the project.
Conception of the Project
This highway project was unveiled during the state visit of President William Ruto to the United States in May 2024. This project emphasizes its role in enhancing the transport links between Kenya’s capital Nairobi and the port city of Mombasa.
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Despite the corridor being served by the Chinese-built Standard Gauge Railway, the existing road network still remains inadequate. Even though the SGR has the potential to ease the transportation of goods, a study that was conducted revealed that several Kenyan manufacturers still prefer trucking. This is as a result of factors such as cost, flexibility, and even the limitations of the railway system.