the Belt and Road > Investment

Chinese firm, Kenya sign deal to extend high-speed railway

NAIROBI
2016-03-30 14:59

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Kenya and China Communications Construction Company (CCCC) has signed an agreement for the construction of the Standard Gauge Railway (SGR) line from Naivasha in northwest Kenya to Malaba in western Kenya.

A statement from the Kenya Railways Corporation (KRC) received this week said the Chinese firm will develop Naivasha-Kisumu/Malaba SGR project, Kisumu Port and the Inland Container Depot at a total cost of 5.3 billion U.S. dollars. "The government has secured a loan from Chinese government to support the development of Phase 2A (Nairobi-Naivasha) and construction will commence in 2016. The total contract price for this section is 1.5 billion dollars," Kenya Railways said, adding that the Commercial Contract for the construction of Phase 2A of the Nairobi - Naivasha SGR was signed by CCCC in September 2015.

China agreed to fund the first phase of a standard gauge railway line linking the East African nation's port city of Mombasa to Uganda, Burundi and South Sudan, according to KRC. KRC statement said the four commercial contracts for the development of the four elements of the project include Naivasha-Kisumu, Kisumu-Malaba, Kisumu Port Development and Modernisation and expansion of the Inland Container Depot at Embakasi in Nairobi. 

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