Kenya is partnering with two Chinese state firms to launch a $1.5 billion highway expansion, marking Beijing’s return to major infrastructure projects in the country after a years-long pause. The initiative, structured as a public-private partnership, will upgrade key transport corridors linking Mombasa to Nairobi and western regions, facilitating trade with landlocked neighbors like Uganda. The project is divided into two phases, costing $863 million and $678.56 million respectively, financed through a 75% debt and 25% equity mix, with Kenya’s state pension fund contributing part of the equity. Construction is set to finish by 2027, after which the firms will operate a 28-year toll concession, reflecting a strategic shift in Kenya’s approach to infrastructure financing.
CNBC Africa
