This archive report was first published on 23 October 2019.
October 23, 2019
Kenya has suspended the construction of the Mombasa-Nairobi expressway, a project that would have been the country's largest single contract road project, valued at Sh 230 billion.
The decision comes after the country hit its debt ceiling, prompting the government to put the project on hold for the next two years.
According to the government, the move will allow the country to explore alternative options, including Public-Private Partnerships, to complete the project.
Transport Minister Macharia believes that postponing the project will enable Kenya to gauge the success of other PPPs before constructing the highway.
Despite the US Ambassador expressing concerns about Kenya's debt levels, the US government has expressed support for the project, stating that it wants to do business in a transparent and ethical way.
However, Ambassador Kyle Carter emphasized that Kenya's debt is spiraling out of control and that the country needs to address its ballooning debt problem.
The government has prioritized other projects, including the Nairobi-Nakuru-Kapbsabet and the JKIA-Westlands Expressway.
Related:
Largest Construction Firm in US bags Sh 230Bn deal to build Kenya’s first high-speed highway
JKIA-Westlands Expressway: The First Step Towards Solving Nairobi’s Traffic Menace?
