Chinese bank to finance city road project

Roads minister Franklin Bett, Lands minister James Orengo and Permanent Secretary Dorothy Angote display maps of the intended acquisition of the land earmarked for road expansion along Mombasa Road, January 19, 2011. Photo/FREDRICK ONYANGO

China’s Export-Import Bank (Eximbank) will finance the Southern bypass road project in a deal expected to close in March.

And construction of the Sh17.1 billion road will be undertaken by China Road and Bridge Corporation, which is also building both the Eastern and Northern bypasses, supported by a Sh8.6bn ($114 million) export credit guarantee from the Chinese government issued in 2008.

This marks a revival of the project that has been in limbo since the government had in December 2009 announced that a funding hitch had delayed its commencement after the road was de-linked from the Sh67 billion Nairobi Toll Road Concession Project that was to be funded by the government and the World Bank.

It also followed a Cabinet decision in mid-2009 to introduce urban road tolls for three bypasses as well as an elevated highway to run from Nyayo National Stadium to the Westlands roundabout.

The toll road project has, however, collapsed following the withdrawal of the World Bank, a key financier.

However, the move revived China’s interest in Kenya’s key infrastructure programmes.

The contractor will build a dual carriage road and the work is to be completed in three years.

Roads minister Franklin Bett said he was satisfied with the work being done by Chinese firms in road construction.

The government has also entered into fresh talks with the Chinese government on the expansion of Ngong Road into a dual carriageway.

Japan International Co-operation Agency (JICA) has also undertaken to carry out the first phase of the project from the City Mortuary roundabout to Adams Arcade.

The second phase will cover the section up to Karen shopping centre with the third phase from Karen linking up with Langata Road.

On completion, the Nairobi bypasses road tolls will be optional. Road users will have a choice between paying to travel on the rapid bypass or using the old congested roads.

The Southern bypass runs from St James Hospital on Mombasa Road to Kikuyu, off the Nairobi-Nakuru highway.

Its construction has now become more urgent, in view of the heavy motor vehicle congestion being experienced on Uhuru Highway.

The environmental watchdog, Nema has approved the project and the Kenya National Highways AUthority ( KENHA)- the roads agency responsible for management of Kenyan highways, is in the process of reviewing compensation claims.

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