The expansion of Kenya’s Standard Gauge Railway (SGR) from Duka Moja in Narok to Malaba, near the Uganda border, has sparked debate over China’s commitment to the project. Speculation grew after President William Ruto revealed that his recent trip to the United Arab Emirates (UAE) included discussions on financing this multi-billion-shilling initiative.
Reports indicate that Kenya is exploring financial support from the UAE after China reportedly scaled back funding for the SGR project.
According to Reuters, “Kenya has started discussions with the United Arab Emirates to secure financing to complete a regional railway, after China cut infrastructure funding for the project.”
The railway currently ends in the Rift Valley, leaving a 468-kilometer gap to the Uganda border, limiting its full regional impact.
Milestones and Ongoing Negotiations
Four months ago, President Ruto and Chinese President Xi Jinping agreed to negotiations for extending the SGR, aimed at benefiting Kenya and the wider region. Launched in 2013 as part of China’s Belt and Road Initiative (BRI), the SGR has already transformed passenger and cargo transport in Kenya. Completion to the border is essential for maximizing its potential.
China’s Belt and Road Initiative in Africa
China’s BRI focuses on infrastructure connectivity across Asia, Africa, and Europe, including roads, railways, and ports. Through Forum on China-Africa Cooperation (FOCAC), China has emphasized industrialization, energy, and agriculture while addressing Africa’s infrastructure deficit.
“China is the only global partner consistently supporting large-scale infrastructure projects in Africa,” noted an analyst.
China’s track record in Africa has enabled countries like Kenya to industrialize and reduce reliance on raw exports. With Uganda constructing its own railway from Kampala, regional interconnected infrastructure is becoming a reality.
Government Commitment and China’s Support
President Ruto’s administration remains determined to complete the SGR project. China’s ambassador to Kenya, Guo Haiyan, reaffirmed support during a meeting with Prime Cabinet Secretary Musalia Mudavadi:
“China is committed to supporting Kenya’s development agenda, particularly the extension of the Standard Gauge Railway from Naivasha to Malaba and the dualing of the Northern Corridor Road.”
The SGR and Northern Corridor Road are key to regional connectivity, expected to improve trade efficiency, create jobs, and reduce business costs across East Africa.
SGR Extension Plans
Construction of the 475km SGR extension is set to begin in early 2025, with a projected cost exceeding Sh720 billion. At least 10% of the project is expected to be completed by mid-2025, with full completion targeted by June 2028.
Once complete, the extension will:
- Ease transport logistics
- Boost regional trade
- Strengthen Kenya’s position as a key East African trade hub
Outlook
Kenya’s collaboration with China highlights a strategic partnership driving economic development. With ongoing negotiations and China’s proven infrastructure expertise, the SGR expansion to Malaba promises immense economic and regional benefits, ensuring Kenya’s continued leadership in East African connectivity.
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