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President Uhuru Kenyatta paves the way for the second phase of the railway project.
The railway second phase will cost US $ 1.5 billion and will extend from Nairobi to Rift Valley town of Naivasha. The project so far has been funded and built by a Chinese company and has consumed US $3.2 billion already from Mombasa to Nairobi.
President Kenyatta joined the first ride and had the first hand experience of the train, after which he commissioned the second phase of the construction. The train stopped in the various stations with crowds happily waving at the president.
“The completion of the Nairobi Suswa section of the SGR project is expected to revolutionize the development of the surrounding areas,” Kenyatta said.
The second phase will be 120 kilometers long and will have 12 stations, in as much as the train is mainly for cargoes, it can be used to convey passengers. The final destination is an inland container depot for distribution of goods to Uganda, Rwanda and South Sudan.
Critics claim that the cost of the railway is dragging the country into heavy debt. But the railway is currently generating US $75 million per year from passengers and cargo and is expected to pay back in 60 years at this rate.