The Chinese government has approved Kenya’s request for Sh370 billion from the Exim Bank of China for the construction of the third phase of the Standard Gauge Railway (SGR) from Naivasha to Malaba through Kisumu.

During bilateral meetings between President Uhuru Kenyatta, Chinese President Xi Jinping and Premier Li Keqiang, the leaders also agreed to designate the SGR as a critical route that needs enhanced security.

President Xi said China will be represented at the launch of the first phase of the SGR next month by a high-level delegation led by a special envoy and two ministers. He also said that China will prioritise capacity building for Kenyan engineers and technicians who will manage the SGR and the trains.

The building of the 120km phase II Nairobi-Naivasha SGR estimated to cost Sh153 billion is on course with contracted builder, China Road and Bridges Corporation.

The second phase which links SGR to Naivasha’s planned special economic zones and the Olkaria geothermal fields begins a month after the June 1 commissioning of the inaugural 427 km Mombasa-Nairobi line that starts at Mombasa Port. The first phase of the project costed Sh327 billion.

President Uhuru, who is in China to attend a major infrastructure conference and hold bilateral talks with Chinese leaders on trade and development, also walked away with more funding for infrastructure projects including Sh16.5 billion for the construction of the Nairobi Western bypass.

During the talks, China elevated its relationship with Kenya to that of comprehensive strategic co-operation, giving the country a grant of Sh19.2 billion to mark the change.

The deals signed included agreement of a framework of co-operation between the National Development and Reform Commission of China and the Ministry of Industry, Trade and Co-operatives on Strengthening Co-operation in Production Capacity.

The agreement was signed for Kenya by Cabinet Secretary Adan Mohamed. Uhuru and Xi also witnessed the signing of an agreement on economic and technical Cooperation.

The agreement was signed for Kenya by Foreign Affairs CS Amina Mohamed. The two leaders also witnessed the signing of a treaty on extradition between Kenya and China, which was signed by Attorney General Githu Muigai. Uhuru commended his Chinese counterpart for inviting him to China to be part of the launch of his Belt and Road initiative.

“The Initiative is a vision for long term co-operation. It no doubt has the potential of bringing positive energy in promoting international economic co-operation if we seize the opportunities it provides,” said Uhuru.

He said Kenya and Africa embrace the Chinese vision as a road to prosperity since it will promote investment in highways and railways to boost trade.

“As you most aptly said during your recent tour of Africa “the Chinese Dream of national rejuvenation is intimately tied up with the African Dream of self-reliance and development,” said President Uhuru.

The President also reached an agreement with President Xi that China will support the vision to extend the SGR to Uganda and Kigali, Rwanda.

The bilateral meetings were held after the end of the Belt and Road Forum for International Cooperation after which President Uhuru wrapped up his visit to Beijing. — PSCU

Source: Kenya Today

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