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Speaking Saturday during the launch of the Kisumu–Malaba section of the railway alongside Uganda President Yoweri Museveni, Ruto described the rail corridor as a transformative commercial lifeline designed to strengthen regional trade, empower farmers, and support industrialists/PCS

EAC

President Ruto: Kisumu–Malaba SGR extension to cut costs, boost regional trade

President William Ruto says the Kisumu–Malaba SGR extension will reduce freight costs, enhance regional trade, and boost economic growth across East and Central Africa.

NAIROBI, Kenya, Mar 21 — President William Ruto has said that the extension of Kenya’s Standard Gauge Railway (SGR) from Mombasa through Kisumu to Malaba will significantly reduce logistics costs and deepen economic integration between Kenya, Uganda, and other landlocked nations in East and Central Africa.

Speaking Saturday during the launch of the Kisumu–Malaba section of the railway alongside Uganda President Yoweri Museveni, Ruto described the rail corridor as a transformative commercial lifeline designed to strengthen regional trade, empower farmers, and support industrialists.

He noted that the rail network will also stimulate the development of industrial parks and special economic zones along the route.

“Our cities and our nations are shaped by infrastructure,” Ruto said.

“Infrastructure development does not just connect places; it often creates them. It determines where opportunity thrives, where investment flows, and where prosperity takes root.”

Ruto traced the origins of the region’s rail network to the colonial-era Uganda Railway, built nearly 130 years ago to link the Indian Ocean port of Mombasa to the interior of East Africa.

The line, which passed through Nairobi and the Rift Valley before reaching Kisumu on Lake Victoria, reshaped settlement patterns and economic activity across the region.

“The railway reinforced Mombasa as the gateway of trade, while Nairobi rose from a rail depot into a logistical hub and eventually the capital,” Ruto said.

“It opened the Rift Valley and the lake region to commerce and transformed Kisumu into a vital inland port.”

However, the century-old meter-gauge railway eventually fell into disrepair, undermining its role as a regional trade artery.

Regional connectivity

The current SGR expansion seeks to restore and modernize that vision of regional connectivity.

The Kisumu–Malaba section, measuring about 107 km, will complete a nearly 1,000-km rail link from Mombasa to the Kenya–Uganda border, forming part of a broader network planned to extend to Kampala and other East African Community (EAC) states.

The railway is expected to serve countries including Rwanda, Burundi, South Sudan, and the Democratic Republic of Congo, strengthening Kenya’s role as a regional logistics hub.

“Our economies are not generating sufficient opportunities to match the pace of our rapidly growing populations. At the same time, our businesses continue to grapple with high logistics costs that undermine competitiveness,” Ruto said.

“In many cases, transport and related costs account for between 30 and 40 per cent of the final value of goods.”

Currently, cargo takes about 80 hours to move from Mombasa to Malaba and over 100 hours to reach Kampala.

With the new SGR sections, freight costs are projected to drop by at least 40 per cent per tonne per kilometre, while transit times could fall by nearly 30 per cent.

Speacial Economic Zones

The project is also expected to spur industrialization along the corridor. Special economic zones will be established in Kisumu’s Kibos area and in Busia, linked directly to the railway to attract private investment in manufacturing, logistics, and trade.

“This railway will connect farmers to markets,” Ruto said.

“It will move livestock and farm produce from our hinterland to Nairobi and onward to Mombasa for export; tea from western Kenya, Kericho, and other towns; dairy from Bomet and other regions in Narok.”

Ruto emphasized that the rail corridor represents a strategic turning point for the continent, laying the groundwork for seamless trade and shared economic growth across East and Central Africa.

“This is not just a railway,” he said. “It is a commercial lifeline and a regional investment that will transform the fortunes of our farmers, producers, industrialists, and businesses.”

The project forms part of broader efforts to expand regional transport networks and position Kenya as a key gateway for trade in the East African region.

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