This archive report was first published on 16 October 2019.
On October 16, 2019, the Kenyan government launched the second phase of the Standard Gauge Railway (SGR) line, but the project's future remains uncertain due to a lack of funding from the Chinese government.
The SGR line was initially planned to extend from Nairobi to Kisumu, but the Chinese government refused to fund the project beyond Naivasha due to viability concerns. The Kenyan government had requested Ksh380 billion ($3.8 billion) to complete the line, but the Chinese government only provided Ksh40 billion ($400 million) for upgrading the metre-gauge railway between Naivasha and Malaba.
Transport Cabinet Secretary James Macharia announced the launch of the SGR line, which will initially operate as a passenger service, but the freight service will be delayed by two months. The line will only connect four of the 12 planned stations, including Ongata Rongai, Ngong, Maai Mahiu, and Suswa.
The project has faced numerous challenges, including a lack of cargo volumes, which has forced the government to start with the passenger line and shelve the cargo side. The Naivasha special economic zone, which was expected to boost cargo demand, has yet to be actualized.
The Chinese government's decision to cut funding for the project has left the Kenyan government with a line that ends in the wilderness, kilometres away from any major town or population that could have fully utilized the line.
