Kenya Secures Ksh 40 Billion Chinese Loan to Restart Stalled Road Projects

The Kenyan government has secured a Ksh 40 billion loan from China to reignite construction on 15 critical road projects that have been left unfinished across more than ten counties. The move comes as part of a broader effort to alleviate the strain caused by incomplete infrastructure that has burdened various regions for years.

Kiharu MP Ndindi Nyoro, who also serves as the Chairman of the Budget and Appropriations Committee, revealed that construction is set to resume next month and will span over three years. This funding agreement follows intense negotiations, initiated during President William Ruto’s visit to China last October. “We have identified 15 projects that have been stagnant, with some advancing no further than 20 percent. We expect contractors to be on-site by September,” Nyoro stated.

The announcement addresses mounting public frustration over the many unfinished projects initiated by both the previous Jubilee administration and the current Kenya Kwanza government. The situation has become so pressing that legal experts, like David Morara, have begun touring the country to spotlight these delays.

President Ruto has made it clear that his administration’s priority is to complete existing road projects rather than launching new ones. According to Nyoro, the Ksh 40 billion infusion will also help alleviate the financial burden posed by pending bills and the backlog of stalled projects. The government has already earmarked Ksh 60 billion in this financial year to focus on ongoing work, particularly through local contractors.

The problem of unfinished infrastructure has been exacerbated by delays in budget disbursements and reductions, leaving many contractors unable to continue their work. The National Treasury currently owes contractors more than Ksh 150 billion for completed projects, a situation that has only worsened over the past decade.

Among the road projects that will be prioritized are several key routes across different counties, including a 64.5-kilometer stretch in Kisii County and a 75.92-kilometer road project in Nandi County. These and other roads have been highlighted as critical to the economic development of the regions they serve and will finally see progress after years of stagnation.

This latest funding is a step towards addressing the long-standing issue of stalled infrastructure, but the government faces the challenge of ensuring that these projects are completed within the proposed timeline, avoiding the pitfalls that led to their delay in the first place.