The four countries along the Northern Transport Corridor have agreed to jointly mobilise funds to fast-track the Standard Gauge Railway project.
The railway would run from Kenya to Uganda and connect to the Democratic Republic of Congo and Rwanda, the Northern Corridor Integration Projects (NCIP) partners, as well as South Sudan.
The Joint Ministerial Committee on SGR comprising transport ministers from the four states, recommitted to expediting the completion of the remaining SGR sections from Naivasha in Kenya to Uganda, Rwanda, South Sudan, and DRC.
At their meeting in Mombasa on Friday, Kenya announced it would resume the construction of the Naivasha-Kisumu-Malaba SGR sections starting in July, subject to the availability of resources. The country is in the final stages of negotiations with the proposed contractor, Yapi Merkezi, with the contract expected to be signed by the end of this month.
Kipchumba Murkomen, Kenya’s Cabinet Secretary for Roads and Transport Ministry, said they are in discussion with the private sector and the EXIM Bank to shoulder part of the financing. The remaining stretch from the Naivasha-Kisumu-Malaba line is estimated to cost the country around 5.3 billion US Dollars.
“We are discussing with the private sector to see if we can structure an arrangement for them to take the large burden at very reasonable and concessional terms so that we can continue with the project,” Kipchumba said.
The project would see the construction of various SGR routes, including Naivasha-Kisumu-Malaba, Malaba-Kampala, Kampala-Bihanga-Kasese-Mpondwe leading into DRC, Bihanga-Mirama Hills leading into Rwanda, Tororo-Gulu-Nimule leading into South Sudan, and Gulu-Pakwach-Vurra into DRC.
Fred Byamukama, Uganda’s State Minister for Transport, explained that a joint move would make the realisation of the project easier.
“We have agreed to source funds jointly because this railway line doesn’t stop in one country. Once we source funds jointly and also use the same contractors, work will move smoothly,” Byamukama, who represented Works and Transport Minister Edward Katumba Wamala, said.
“This project will have a transformative impact on our region’s economic development, and we are committed to ensuring its successful implementation.”
As the chair of the infrastructure cluster meeting of the NCIPs, Uganda played a key role in facilitating the ministers’ agreement.
Jimmy Gasore, Rwanda’s Minister of Infrastructure, emphasized the need to keep SGR as a regional project, explaining that Kenya would not benefit from the full potential of the project given the heavy investment involved, if the project was not extended to the hinterland countries.
“We have reiterated our need to coordinate and package this project as a regional project. It will, for example, not help us to develop our section, that is Kigali-Mirama Hills if the Naivasha to Malaba and Malaba-Kampala-Mirama Hills is not developed,” said Gasore.
The Mombasa-Nairobi-Naivasha SGR section is now fully operational, and there is ongoing harmonization of technical specifications and standards for SGR by Kenya and Uganda.
According to Ambassador Richard Kabonero, the Coordinator of the NCIPs for Uganda, the SGR is vital for the reduction of transport costs and the competitiveness of East Africa.
“We are working hard towards the 15th Summit of the Heads of State to revive the momentum that we had in the past,” he added, noting that the SGR project is one of the most ambitious projects in the region.
The European Union delegation in Uganda has been supporting Uganda’s Ministry of Foreign Affairs under the NCIPs coordination efforts.
The ministers also agreed to establish a framework for cross-border maintenance of SGR assets and facilities, harmonize planning and development of inland water transport infrastructure, and fast-track the review of the Tripartite Agreement on water transport on Lake Victoria.
According to the joint communique, the Democratic Republic of Congo has committed to assent and ratify the existing SGR protocol and SGR Tripartite Agreement.
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