Uganda and Kenya have set July 2017 as the timeline to conclude harmonizing their construction plans for the Nairobi – Kampala section of the standard Gauge Railway and to thus receive financing from Chinese Exim Bank.
This harmonization has been a major obstacle to Uganda against receiving funding for its part of the railway which was ironed out in a meeting by technical teams and transport ministers from both countries.
“We have agreed that we need to sit with finances and have these joint commitments which we have agreed upon put into practice. It will be a one connected railway all the way from Kampala to Malaba o Kisumu,” James Macharia, Kenya’s Cabinet Secretary for Transport said.
China’s Exim bank in December agreed to lend Kenya 4.9 billion U.S dollars for the second leg of a new railway linking southern Kenya town of Naivasha to Malaba.
According to officials, Exim bank will provide 85% of the 2.2 billion U.S dollars Uganda need for the line.