In 2024, passenger numbers on Kenya’s Standard Gauge Railway (SGR) and commuter rail services declined, primarily due to fare increases and route disruptions, affecting overall ridership.
📉 Passenger Numbers Drop, Revenue Rises
Despite fewer passengers, SGR passenger revenue rose to Sh4 billion, a 39.4% increase from 2023. This was largely driven by a 50% fare hike introduced in January 2024. However, total SGR passenger numbers fell by 10.3%, dropping to 2 million passengers, according to the 2025 Economic Survey by the Kenya National Bureau of Statistics (KNBS).
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At the same time, SGR freight transport slightly declined from 6.533 million tonnes in 2023 to 6.531 million tonnes in 2024, causing freight revenue to fall by 4.8%, from Sh14.6 billion to Sh13.9 billion.
🚛 Growth in Transportation and Road Infrastructure
The transportation and storage sector as a whole showed growth, with total output rising from Sh3.27 trillion in 2023 to Sh3.5 trillion in 2024. Road transport contributed the most to this growth. During the 2023/2024 financial year, the government spent Sh80 billion on road maintenance, up 20% from the previous year. This included Sh78.5 billion from the fuel levy and Sh1.7 billion from the transit toll, with the road maintenance budget expected to rise to Sh83.3 billion in 2024/2025.
🚆 Commuter Rail Services Also See Fewer Users
Commuter rail passenger numbers fell by 26.9% to 2.5 million, while revenue dropped slightly to Sh1.9 billion, down from Sh2 billion in 2023. Passenger revenue on the Metre Gauge Railway (MGR) also fell, from Sh201 million in 2023 to Sh162 million in 2024, largely due to severe flooding in April 2024, which damaged tracks between Uplands, Kijabe, and Longonot. This led to temporary suspension of services to Limuru and indefinite halt of Kisumu services.
✅ Positive Developments and Upgrades
Freight transported via the Metre Gauge Railway grew slightly, from 1 million tonnes in 2023 to 1.03 million tonnes in 2024. Kenya Railways introduced premium SGR passenger services, featuring new coaches with 28-passenger capacity. In December 2024, passenger services resumed on the Syokimau to Suswa route, connecting the SGR to the Metre Gauge Railway through Nakuru to Kisumu.
The Economic Survey 2025 highlighted ongoing rail infrastructure upgrades, aimed at supporting trade, improving transport connections, and creating jobs. Planned improvements include upgrading the Metre Gauge Railway and expanding premium SGR services.
⚙️ Kenya Railways Takes Over SGR Operations
In 2024, the Kenya Railways Corporation (KRC) began assuming full operations of the SGR from Africa Star Railway Operation Company (Afristar), now managing 90% of SGR operations. Full handover is expected by the end of 2025, as the eight-year Afristar contract concludes.
The SGR project between Nairobi and Mombasa remains Kenya’s most expensive infrastructure development, costing Sh464 billion. Construction began in December 2014 and officially opened in 2017, ahead of schedule.
🚄 Kenya’s Rail Transport Outlook
Although fewer people are using the railways, the government and Kenya Railways are investing in upgrades and premium services to boost the future of railway transport in Kenya.
📢 Stay updated on Kenya’s transport and infrastructure news at metros.co.ke/
