China has given Kenya Ksh 153 Billion to extend the railway from Nairobi to Naivasha, said Manoah Esipisu the presidency spokesman.
Manoah Esipisu said the extension to Naivasha will offer access to an industrial park to be built there to accommodate manufacturing firms wishing to use power from the nearby geothermal steam fields that are being developed.
“Kenya and China signed a financing package for the extension. China Eximbank will provide a $1.5 billion loan, 85 percent of the financing, while Kenya will provide the balance,” he told a news conference.
The deal was signed on the sidelines of the Forum for China-Africa Co-operation, which was held in Johannesburg.
Kenya Railways and China Communications Construction Company Ltd have also signed a deal to carry out feasibility studies and initial designs for the second leg of the Mombasa-Nairobi line, which will stretch to Malaba on Kenya’s border with Uganda.
Kenya has also signed or is close to concluding various deals with China for the expansion of the electricity grid, he said
