Why Kenya wants China to loosen deposit rule on SGR escrow account

Standard Gauge Railway (SGR).

Photo credit: File | Nation Media Group

Kenya is pushing China to review strict escrow account terms tied to the Standard Gauge Railway (SGR) loan, after the rigid arrangement effectively blocked Kenya from tapping revenues from operations to repay the debt.

The National Treasury says the terms, which require Kenya Railways Corporation to maintain a minimum balance of Sh25 billion in the special account, had driven arrears on the SGR project to Sh413.4 billion by June 2025.

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