Kenya railway's Ksh28 billion city project begins to take shape
In Kenya, the much-awaited $259.7 million Nairobi Railway City has started taking shape after the formation of the Railway City Development Authority.
Tue, 21 Jul 2020 14:40:47 GMT
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AI Generated Summary
- Concerns over the disparity in prioritizing infrastructure projects over essential human development needs in Kenya
- Economic analyst raises reservations about the financial sustainability and implications of external funding for major transportation initiatives
- Accountability and corruption issues pose significant challenges to the effective implementation and cost-efficiency of large-scale projects
Kenya's much-awaited $259.7 million Nairobi Railway City project has commenced its initial phases following the establishment of the Railway City Development Authority. The ambitious 20-year initiative aims to transform the landscape of the Nairobi Central Business District, with the first phase set to kick off this year. Additionally, a significant development in the transportation sector involves Chinese pharma stakeholder cooperation securing a $5.6 billion deal to construct special lanes for high-capacity buses across the Nairobi City Center and Thika Highway starting next month.
Reginald Kadzutu, an Economic Analyst, shared insights on these major projects during a recent interview on CNBC Africa. He highlighted two key initiatives essential for decongesting Nairobi's traffic. The first is the Bus Rapid Transit (BRT) system designed to alleviate traffic along the Thika Road Highway, connecting areas like Kasarani to the National Hospital and the CBD. The second initiative involves the establishment of a committee overseeing the Railway City, which will serve as a central hub connecting various transport modes, including the BRT system and the railway network.
Kadzutu also addressed concerns regarding the timing of these projects amidst the global economic challenges posed by the COVID-19 pandemic. He raised issues regarding the prevailing lack of access to basic necessities like piped water and sanitation for a significant portion of Kenya's population. This disparity in prioritization of infrastructure projects versus essential human development needs reflects a critical concern over resource allocation and social welfare.
When examining the broader implications of the Nairobi Railway City project, Kadzutu emphasized its potential to ease transportation, address housing shortages, and enhance tourism prospects. However, he expressed reservations about the project's economic impact, particularly in light of Kenya's fiscal constraints. The reliance on external funding, such as the substantial Chinese investment in the bus lane construction, raises questions about the country's debt sustainability and potential future financial challenges.
Moreover, Kadzutu underscored the issue of accountability in project implementation, noting that corruption remains a significant obstacle to efficient and cost-effective execution. The endemic problem of inflated costs and tender irregularities associated with large-scale infrastructure initiatives hinders progress and perpetuates financial mismanagement within the government.
In conclusion, the success of Kenya's ambitious railway and transportation projects hinges on addressing fundamental issues of transparency, accountability, and strategic prioritization. While these endeavors hold promise for enhancing urban connectivity and infrastructure, the long-term sustainability and socio-economic benefits require a careful balance between development aspirations and prudent fiscal management.