Kenya has agreed to receive $60 million (Ksh.8.7 billion) from the United States’ Millennium Change Corporation (MCC) to buy electric buses for Line 2 of Nairobi’s Bus Rapid Transit (BRT) system.
President William Ruto signed the agreement with MCC CEO Alice Albright during a meeting in New York.
The funding is part of the Kenya Urban Mobility and Growth Threshold Program, aimed at addressing traffic congestion in the Nairobi Metropolitan Area.
“Mobility in Nairobi is very important to us.
The city has 5 million people during the day and 4 million at night, so this means there are 1 million people who come every day, posing a very significant challenge to the infrastructure.
The bus transport system is a very important component,” Ruto said.
“We are also working on a rail system around Nairobi and we have built 28 stations out of a possible 38.”
The Millennium Change Corporation (MCC) is a US government organization established in 2004.
MCC collaborates with the world’s poorest countries that uphold democratic governance, economic freedom, and investments in their populations.
The threshold program with Kenya has been in the works for several years and aims to improve connectivity in urban areas, a critical factor for inclusive economic growth.
The limited planning and lack of investment prioritization in land use and transportation have hindered productivity in Nairobi, affecting manufacturing firms and limiting access to economic opportunities.
The program consists of four projects:
- Integrated Transport Planning Project
- First and Last Mile Connections Project
- Detailed Land Use Project
- Blended Finance for Bus Rapid Transit (BRT) Project
In late July, Roads and Transport Cabinet Secretary Kipchumba Murkomen announced that the government planned to resume the stalled BRT project within two months.
Talks with the Treasury were underway to secure funds for project completion by December 2024.
“We are working with the National Treasury to ensure prompt settlement of pending bills owed to the contractor to enable him to resume work within the next two months with a target of December 2024 as the completion date,” he said
Previously, the Nairobi Metropolitan Area Transport Authority (NAMATA) had intended to launch five BRT corridors in 2022, but the project faced delays due to funding issues.
The Treasury’s failure to release the required Sh.3 billion led to a setback in the Sh.5.6 billion project’s timeline, originally set to begin operations in June 2022.
ALSO, READ;
Man Kills Mother By Throwing Her Into Well Over ‘Religion, FGM, Polygamy
