The much-awaited construction of the Mombasa Special Economic Zone is set to kick off after the Kenyan Government invited bidders to undertake the implementation of the project.
The international tender, worth KES 32.4 Billion has been floated by the Kenya Ports Authority and will be financed via a loan from the Japan International Cooperation Agency (JICA). The ports authority said that the Government of the Republic of Kenya signed the loan on February 27, 2020.
Under the terms of agreement, eligible bidders shall be of Japan Nationality in the case of the prime contractor; and All countries and areas in the case of the subcontractor(s). In case where the prime contractor is a joint venture, such joint venture will be eligible provided that the nationality of the lead partner is Japan, that the nationality of the other partners is Japan and/or the Republic of Kenya and that the total share of work of Japanese partners in the joint venture is more than fifty percent (50%) of the contract amount.
Mombasa Special Economic Zone Completion
The project which is set to be completed by 2026 will include creation of a free trade zone, a free port, a logistics hub, and a mega industrial zone where major players and regional countries using Mombasa port will be allocated parcels of land to set up their key depots.
Mombasa port serves a number of landlocked countries in East Africa including Uganda, South Sudan, Rwanda, Burundi and the Democratic Republic of Congo.
The project is part of Kenya’s industrialisation plan, spanning 10 years and is boosted by the revised draft SEZ regulations (2019) that offer incentives to companies operating in the zone.