Yoweri Museveni and William Ruto are set to officially launch construction of a major $8.5 billion Standard Gauge Railway (SGR) project, a transformative infrastructure venture aimed at strengthening regional connectivity in East Africa.
The groundbreaking ceremony is scheduled to take place in Kisumu on March 20, marking the beginning of a railway extension that will link Kenya’s existing Nairobi–Naivasha SGR line to Malaba at the Uganda border, with plans to extend further to Kampala.
The project will be jointly funded, with Kenya contributing approximately $5.5 billion and Uganda $3 billion. Uganda has already secured initial financing and contracted Yapı Merkezi to begin preliminary works, including geotechnical surveys along the 273-kilometre Malaba–Kampala route.
Officials say the railway will play a critical role in overcoming long-standing transport challenges, particularly for landlocked Uganda’s access to the sea via the Port of Mombasa. Once complete, the SGR is expected to handle up to 30 million tonnes of cargo annually, significantly improving trade efficiency across the region.
The new rail link is also projected to cut travel time between Nairobi and Kampala from around 14 hours to just four hours, while reducing freight transport costs by nearly 35 percent. This is expected to boost the competitiveness of goods and stimulate economic growth.
The initiative follows a bilateral agreement signed in March 2025, in which both countries committed to aligning technical standards to ensure seamless cross-border rail operations. The project is also part of broader efforts to deepen integration within the East African region.
In Uganda, the railway is anticipated to ease pressure on road infrastructure, potentially saving billions in maintenance costs and offering a safer alternative to road transport, which currently results in thousands of fatalities each year.
Construction activities are already underway on the Ugandan side, with compensation for affected communities reportedly completed in several districts. In the long term, Uganda plans to expand its rail network further to connect with South Sudan, Rwanda, and the Democratic Republic of the Congo.
Overall, the SGR project represents a significant خطوة toward regional integration, improved trade logistics, and sustainable economic development across East Africa.