Kenya has received a Sh81 billion (US$750 million) loan from the World Bank, money that will be used to finance infrastructure projects in Northern Kenya.
Transport CS James Macharia says the money will be used to finance the Horn of Africa Gateway Development Project (HoAGDP), a project that aims at enhancing regional trade by improving the transport of people, goods, and institutional strengthening.
Projects that will benefit from the loan
- Upgrading to bitumen standards the 190-KM Isiolo-Modogashe road and the 175-KM Wajir-Elwak road sections,
- Construction of 2 new river bridges at Rhamu and Mandera plus other trade facilitation measures,
- Construction of 30-KM spur roads to urban centers along the corridor,
- Laying of a 740-KM fiber optic cable from Isiolo to Mandera, and
- Development of social infrastructure for the host community, including pastoralist roadside markets, clean water, extending electrification, provision of milk coolers, slaughterhouses, veterinary posts, and livestock holding areas.
“The HoAGDP is a high impact, high visibility project and is expected to… spur growth in the Northeastern sub-region. This will be through among other benefits creation of employment, reduction of travel time from Isiolo to Mandera by half- from 96 hours to 48 hours, significantly reducing vehicle operating costs as well as the cost of commodities. Upgrading of the road is also expected to improve security along the corridor,” read the statement from CS Macharia.