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    Kenya Launches KSh 150 Billion SGR Phase 2A

    Wandiri
    By Wandiri Gitogo
    - October 16, 2019
    - October 16, 2019
    Kenya Business news
    Kenya Launches KSh 150 Billion SGR Phase 2A

    Kenya has launched Phase 2A of the Standard Gauge Railway running from Nairobi to Suswa and covering 120 kilometres.

    China Communication Construction Company was the main contractor taking three years to complete the railway project.

    Once the project achieves the full potential it will connect Naivasha to Mombasa via Nairobi thus easing movement of goods.

    See also: Kenya Completes Phase 2A of Standard Gauge Railway

    Criticism

    However, the SGR Phase 2A has received criticism from economists who argue that the line may be underutilized as it ends in an area far from any major town or population.

    Furthermore, low cargo volumes for the Mombasa Nairobi SGR may haunt the new line because of delays in completion of cargo ports at Mai Mahiu and Naivasha.

    They also argue that the decision by the Chinese government to cut funding for the extension of the line to Kisumu citing viability concerns may limit the completion of the SGR Phase 2A line.

    The launch comes as protests ensue in Mombasa over economic woes arising from directive forcing cargo owners to use SGR.

    Related:

    Kisumu SGR still in the works- Transport CS

    Naivasha –Kisumu SGR put on hold

    The Kenyan Wall Street

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