AFDB Approves $250 Million Loan for Kenya-Uganda Highway Upgrade

The African Development Bank Group (AfDB) approved USD 253.0 million worth of loans to the Governments of Kenya (USD 147.3 million) and Uganda (USD 105.7 million) for the upgrading of  118 km road section connecting the two countries as well as the construction of the 32 km Eldoret town bypass, in Kenya.

The upgrading of the 118km road connecting Kapchorwa (Uganda) to Kitale (Kenya) also includes a construction of a One Stop Border Post in Suam to facilitate trade between the two countries, travelers and transport operators.

“The upgrading of the road will reduce the travel time in Uganda from 4hrs to 1.5hrs and in Kenya from 1.5hrs to 45 minutes. The project area is very fertile and has high agricultural potential and the upgrading of the road from gravel to bitumen standard will facilitate the supply of farm inputs and evacuation of produce to major market centers. The construction of the Eldoret bypass (32km) will reduce traffic congestion in Eldoret Town, by avoiding crossing of the city center.” AFDB said in a statement.

“The proposed intervention is also in line with the Bank’s Ten Year Strategy and meets four of the High Fives by contributing to the integration of the EAC countries; improving the quality of life by providing socio-economic facilities to people in the zone of influence; increasing agricultural production through access to markets and the reduction transport cost, which lowers the cost of doing business that will play pivotal role in industrialization.” pointed out Amadou Oumarou, Director of the Infrastructure, Cities and Urban Development Department of the Bank.

The project design paid particular attention to road safety and health issues. The new design of the roads will minimize accident risks by speed calming measures and appropriate and clear signage. The project has Road Safety awareness campaign to the communities. The project also includes the refurbishment of post-crash care center and the procurement of ambulance and theatre equipment.

The AfDB loans will cover 89% and 88% of the Uganda and Kenya project costs respectively. The Government of Uganda and Kenya contribution will be 11% and 12% of their respective country project cost.

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