Nairobi-Mombasa Usahihi Expressway to Kick Off in 2026

The construction of the 440 km Nairobi-Mombasa Usahihi Expressway is set to begin early next year, once a major fundraising initiative concludes in the second half of this year.

Usahihi Expressway Limited, the project developer backed by US-based Everstrong Capital, expects to complete the feasibility study in May, after which it will request final approval from the National Treasury Public-Private Partnerships (PPP) Unit to begin work.

“We are finishing the feasibility study in May, and we will ask the National Treasury PPP Unit for their final approval. Then, we expect to reach financial close by the end of the year, with an eye on starting construction next year,” said Kyle McCarter, the company chairman.

Everstrong Capital, the infrastructure investment firm behind the project, is aiming to secure Sh129 billion ($1 billion) from local pension funds and banks to finance the road.

The funds will be raised by a group of insurance companies, investment banks, fund managers, and pension funds operating as Pack Hunters Club.

Everstrong has entered into a Transaction Advisory and Placement Services Agreement with CPF Capital and Advisory, which recently opened the local fundraising exercise.

This local fundraising marks a major step in moving the project forward, with Everstrong targeting Sh323 billion ($2.5 billion) for the project from external sources.

This brings the total cost of the project to Sh452 billion ($3.5 billion).

The Usahihi Expressway, once completed, will dramatically reduce travel time between Nairobi and Mombasa to just 4.5 hours, spurring economic growth along the route.

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To facilitate development, Everstrong has set aside Sh12.9 billion ($100 million) for land acquisition along the corridor. Landowners will also have the opportunity to invest in the project instead of receiving equity, with an estimated 17.5% return on investment.

McCarter emphasised the importance of involving local stakeholders: “We are ensuring landowners get a fair price for their property, and we’re offering many of them the opportunity to become shareholders in the road’s development.”

The highway, running parallel to the current Nairobi-Mombasa highway, will be managed by Everstrong for 30 years under a concession.

Toll revenues, particularly from large commercial vehicles—which make up most of the road’s users—are expected to constitute 75% of the project’s revenues.

Everstrong plans to complete the financial commitments for the expressway by December, clearing the way for the commencement of construction early next year.

The project is expected to be completed in about four years.

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