Kenya Turns to China for $1.5 Billion Highway Expansion

Kenya, 28 November 2025 - The highway expansion will be carried out by China Road and Bridge Corporation (CRBC) and Shandong Hi-Speed Road & Bridge International. It is structured as a public-private partnership, with 75 percent financed by debt and 25 percent by equity, including contributions from Kenya’s National Social Security Fund.

Once completed, expected by 2027, the companies will hold a 28-year toll concession to recover their investment. The government views this as a strategic move to modernize infrastructure and spur economic growth.

The project is expected to create thousands of direct and indirect jobs in construction, logistics, and services along the route. By reducing travel times and transport costs, it will facilitate smoother trade flows and improve connectivity for people and goods. It is also likely to attract further investment along the corridor, while spreading financial risk between the public and private sectors.

Whether the highway successfully reduces transport costs and boosts trade will depend on several factors. The ability to generate stable toll revenues is critical; if rates are too high, public resistance could emerge, particularly among daily commuters and transporters. Project execution must remain disciplined and timely to avoid cost overruns.