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    1.0.32

    World Bank Approves KSh 71bn For Isiolo-Mandera Road, Fibre Optic Cable

    Brian
    By Brian Nzomo
    - April 10, 2026
    - April 10, 2026
    Kenya Business newsInfrastructureMarketsMacroeconomics
    World Bank Approves KSh 71bn For Isiolo-Mandera Road, Fibre Optic Cable

    The World Bank has approved US$550 million (KSh 71 billion) to upgrade 508 km of the 740 km Isiolo–Mandera road and roll out more than 1,200 kilometres of fibre optic cable along the corridor.

    • •The financing will be split into two tranches, with US$290 million in additional funding for the existing Horn of Africa Gateway Development Project and US$260 million allocated to its second phase.
    • •The road project is expected to reduce the journey from Nairobi to Mandera from three days to about one.
    • •Lower transport costs could improve the movement of goods, while better internet infrastructure may support businesses, government services, and cross-border trade.

    “Regional road corridors in the Horn of Africa cross remote and underserved areas inhabited by disadvantaged communities with comparatively high poverty levels. Multisectoral interventions that enhance connectivity, support livelihoods, create jobs, and strengthen resilience are essential to fostering inclusion, a shared sense of benefits, and ultimately fostering greater peace, security and economic growth,” said Qimiao Fan, World Bank Division Director for Kenya, Rwanda, Somalia and Uganda.

    The investment targets a region that has historically been cut off from Kenya’s economic centres due to poor roads, insecurity, and weak communications infrastructure. While other parts of the country have benefited from rapid growth in mobile internet and digital services, northern counties have lagged behind.

    Recent data shows that although internet access has improved across Kenya, usage remains heavily concentrated around Nairobi and nearby counties. In contrast, places like Mandera, Wajir and Marsabit still record significantly lower levels of connectivity, limiting their ability to participate in the digital economy.

    By combining road construction with fibre expansion, the project is designed to address both physical and digital isolation at the same time.

    The corridor is also part of a wider regional plan to improve links between Kenya, Ethiopia and Somalia, potentially opening up new trade routes across the Horn of Africa.

    However, the impact will depend on how quickly economic activity follows the infrastructure. Previous trends suggest that improved access alone does not automatically translate into jobs or investment, especially in areas with limited industry and low population density.

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