Kenya’s Nairobi-Mombasa Usahihi Expressway construction set to start in early 2026 and is poised to transform travel between two major cities
This ambitious project aims to significantly reduce travel time and stimulate economic growth along the route.
Key Takeaways
- Construction of the 440 km expressway will start in early 2026.
- The project is expected to cost approximately Sh452 billion ($3.5 billion).
- Travel time between Nairobi and Mombasa will be reduced to just 4.5 hours.
- Local stakeholders, including landowners, will have investment opportunities.
Project Overview
The Usahihi Expressway, developed by Usahihi Expressway Limited and backed by US-based Everstrong Capital, is set to revolutionize transportation between Nairobi and Mombasa.
The expressway will run parallel to the existing highway, providing a faster and more efficient route for both commercial and private vehicles.
The project is currently in the feasibility study phase, which is expected to conclude in May.
Following this, the developers will seek final approval from the National Treasury’s Public-Private Partnerships (PPP) Unit to commence construction.
Financial Aspects
To finance the project, Everstrong Capital aims to raise Sh129 billion ($1 billion) from local pension funds and banks.
This fundraising initiative is being coordinated by a consortium known as the Pack Hunters Club, which includes insurance companies, investment banks, and fund managers.
The total estimated cost of the Usahihi Expressway is Sh452 billion ($3.5 billion), with Everstrong targeting Sh323 billion ($2.5 billion) from external sources.
The financial structure of the project is designed to ensure sustainability and profitability, with toll revenues expected to account for a significant portion of the income generated.
Economic Impact
Once completed, the Usahihi Expressway is projected to reduce travel time between Nairobi and Mombasa to just 4.5 hours, a significant improvement over current travel times.
This reduction is expected to enhance trade and tourism, ultimately spurring economic growth in the region.
The expressway will also create job opportunities during the construction phase and beyond, as improved infrastructure typically leads to increased business activities along the route.
Local Stakeholder Involvement
Everstrong Capital is committed to involving local stakeholders in the project. The company has allocated Sh12.9 billion ($100 million) for land acquisition along the expressway corridor.
Landowners will have the option to invest in the project, potentially earning an estimated 17.5% return on their investment.
Kyle McCarter, chairman of Usahihi Expressway Limited, emphasized the importance of fair compensation for landowners and the opportunity for them to become shareholders in the project.
This approach not only fosters community support but also ensures that local interests are represented in the development process.
Conclusion
Kenya’s Nairobi-Mombasa Usahihi Expressway represents a significant step forward in Kenya’s infrastructure development.
With construction set to begin in 2026, the project promises to enhance connectivity, stimulate economic growth, and improve the overall travel experience for millions of Kenyans.
As the feasibility study wraps up and fundraising efforts progress, anticipation builds for what this new expressway will bring to the region.
