Finance

AfDB grants $228 million for renovation of Kenya-Tanzania road

Monday, 04 April 2016 13:41

In a statement published on March 31, African Development Bank (AfDB) said it granted Kenya a credit line of $228 million to rehabilitate 172km of road between Ahera (South-East of Lake Victoria) and Isebania, near the Tanzanian border.

The project will help ease trade between Kenya and Tanzania, and reinforce the Sirrari corridor which links South Sudan to Tanzania, via Kenya.

Once the project is completed, duration and cost associated with the Isebania-Ahero trip will be halved. Towns through which the renovated road passes are also to record substantial economic benefits. New opportunities will introduced for agricultural and fishery industries. With the 77km of secondary roads, which will also be developed, local producers will be able to send their products to consumption centres. 

The project costs $280.26 million. AfDB financed 81.4% of this sum, the rest was provided by Kenya’s government (14.6%), the EU-AfricaInfrastructure Trust Fund (4%).

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