Infrastructure

Kenya Unveils Plan to Build Sh2.1 Trillion SGR Network

The government will build 2,746kms of the SGR at a cost Sh2.1 trillion.

Updated on

May 15, 2023

Chinese and Kenyan workers at the Mombasa Terminus on March 27, 2017. PHOTO/FILE

The Kenyan government has unveiled a highly ambitious plan to construct a Sh2.1 trillion Standard Gauge Railway network by the end of June 2027, in a move that will raise the total spend on the Kenya SGR to more than Sh2.75 trillion.

According to the Business Daily, Kenya will build 2,746kms of the SGR at Sh2.1 trillion, as part of the Sh3.42 trillion Lamu Port South Sudan-Ethiopia Transport (Lapsset) project.

This will extend the Mombasa-Naivasha railway to Kisumu, Malaba, Isiolo, Moyale, and the island of Lamu.

The SGR will extend from Mariakani in Mombasa County to Lamu and Isiolo from where it will be connected to the northeastern town of Moyale.

From Naivasha, the railway will extend to Malaba through Kisumu.

At 753.2km, the Isiolo to Nakodok (a town near the Kenya-South Sudan border) segment will be the longest stretch of the planned railway.

According to the Transport Ministry, this segment will cost Sh443.2 billion.

On the other hand, the 544.4km Lamu-Isiolo segment will cost Sh348.7 billion, while the 475.9km Isiolo-Moyale line will cost Sh317.8 billion.

The 325.3km Mariakani-Lamu segment will cost Sh257.3 billion, while the 278km Nairobi-Isiolo line will cost Sh239.2 billion.

The government will spend Sh380 billion to extend the SGR from Naivasha to Kisumu, and Sh122.9 billion to extend the line from Kisumu to Malaba.

The project will be largely funded by undisclosed external financiers, who will supply Sh1.8 trillion, with the balance coming from the Kenyan government.

The Mombasa-Naivasha SGR line – which was financed by the Chinese to the tune of Sh656.1 billion – ended abruptly in Naivasha due to a lack of funds.

The government has, however, rekindled plans to extend the line to Malaba.

Transport minister Kipchumba Murkomen had on Dec 15 said Kenya was in talks with China to extend the railway from Naivasha to Malaba within five years.

“We would like to complete the connection of the SGR from Suswa to Kisumu through Bomet, Nyamira, parts of Kisii, and later to Malaba. Later, we can think of upgrading the MGR via Nakuru to Kisumu and via Eldoret to Malaba,” he said.