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Home International Customs

World Bank Group approves $500m for development of transport, trade corridor in northern Kenya

byCustoms Today Report
29/06/2015
in International Customs, Kenya
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NAIROBI: The World Bank Group has approved $500 million for the development of the transport and trade corridor in north-western Kenya.

The general intent is to help improve the livelihoods of the communities in Turkana and West Pokot counties.

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“A better road will contribute greatly to the development of north-western Kenya and improve the connectivity of the region to regional and global markets,” Tesfamichael Nahusenay Mitiku and Josphat Sasia, the co-Task Team Leaders of the project said in a recent statement.

This latest initiative falls under the East Africa Regional Transport, Trade and Development Facilitation Project.

The project is also meant to improve regional competitiveness by improving the movement of goods and people in East Africa.

During the past five years or so, northern Kenya has been the focus of increased economic activity associated with the discovery of oil.

Turkana is also strategically placed  as part of the proposed Lamu Port Southern Sudan-Ethiopia Transport (LAPSSET) Corridor.

According to Turkana County officials, this gives the region a better accessibility from any transit trade going to and fro neighbouring Kenya counties and countries. In the process, this will unlock its full economic potential.

Diarietou Gaye, the World Bank Country Director for Kenya said, “Kenya has a long established transport and trade link to the north-west, but the poor state of the road constrains growth opportunities along this important corridor.”

“Enhancing connectivity to this region will improve the livelihoods of the pastoral communities in the region, enabling their people to share in the prospects for growth, poverty reduction and prosperity,” she said.

Gaye said the $500 million will enhance the transport connectivity among East African countries.

The Corridor intends to boost exports of agriculture, fishery and mineral products from north western Kenya.

The oil resources in Turkana will  also be extracted by the help of this project. Besides better roads, Information and Communications Technologies infrastructure will be modernised. This will facilitate establishment of trade and development facilities, including markets to support pastoralist communities and micro enterprise operators.

The project will also underpin farmers, pastoralists and small business entrepreneurs along the Corridor. It will cost an estimated $676 million, with the balance being contributed by the Kenya government.

Among the major works planned include upgrading of the road linking Kenya to its neighbors in the North West border and also enhance internet connectivity to the rest of the world.

The roads to be upgraded include the 309 kilometer road from Lokichar to Nadapal/Nakodok by Kenya government and 595kms road linking Eldoret in Kenya to Juba by South Sudan’s government.

The upgraded road will link up to the Northern Corridor transport system and other major transport and trade corridors in the Eastern African region. This will contribute to region integration and reduce the cost of doing business in the EAC.

Apart from the tourism business linked to Lake Turkana, County officials also tout the presence of two permanent rivers and a huge underground water reservoir discovered below Lotikipi plains in the far northwest.

They believe Turkana could become a bread basket through intensive irrigation.

Lake Turkana already sustains a significant fishing industry which exports its produce as far as Democratic Republic of Congo.

Tags: approves $500mfor developmentin northern Kenyaof transporttrade corridorWorld Bank Group

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