Kenya Railways has awarded the engineering, procurement and construction contract for the Naivasha–Kisumu–Malaba Standard Gauge Railway extension, valued at approximately Ksh700 billion (about $4.45 billion), to China Communications Construction Company and its subsidiary China Road and Bridge Corporation. The 369km extension runs through Narok, Bomet, Kericho, Nyamira and Kisumu before terminating at Malaba on the Uganda border, including an 8.9km branch line to Kisumu Port. Construction formally began in July 2026 following a groundbreaking presided over by President William Ruto.
Procurement Details
Key Issues / Risks
Land acquisition and compensation for project-affected persons ongoing; historical criticism over lack of competitive bidding on earlier SGR phases; interoperability alignment needed with Uganda's parallel Malaba–Kampala line.
Latest Development (Detail)
Construction works officially commenced in Narok County in July 2026 after a March 2026 groundbreaking; land acquisition sensitisation ongoing in Kisumu for the Kibos Terminus.
What Happens Next
Full financing close for the extension; progress on Kisumu Port branch line; Uganda's parallel harmonisation with Yapi Merkezi-built Malaba–Kampala section.
Commercial Opportunity
Major opportunity for subcontractors, materials suppliers, and logistics firms along the corridor; connects Kenya's rail network directly to the Uganda border, opening regional freight and trade opportunities.