Kenyan President William Ruto said he had begun talks with the United Arab Emirates to secure financing for the completion of Kenya’s regional railway after China cut off infrastructure funding for the project.
The railway, part of China’s Belt and Road Initiative and connecting Kenya’s port of Mombasa to its landlocked neighbours, was completed in 2019 in the East African Rift Valley region. It is just 468km (290 miles) from the Ugandan border after Beijing withdrew its support for Kenya’s railway.
“We are working on a partnership agreement with the UAE to expand the standard gauge railway connecting Kenya, Uganda and South Sudan,” Ruto told X TV after talks with UAE officials.
He said the two sides would conduct a feasibility study on the railway extension because of its potential to promote regional integration and economic growth.
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Ruto’s office did not respond to requests for more details. Ruto, who took office in September 2022, has worked to build ties with the UAE, with Kenya securing $1.5 billion in commercial loans from the UAE to boost investment.
The East African country and the UAE signed a joint trade agreement on Tuesday to improve trade by removing barriers, improving customs procedures and providing investment incentives.
“Kenya will be the gateway to East Africa,” UAE Trade Minister Thani Zeyoudi told Reuters on Tuesday.
Ruto’s office said trade between Kenya and the UAE has more than doubled in the past decade. The UAE is Kenya’s sixth-largest trading partner and second-largest export market. Trade volume will be 445 billion shillings ($3.44 billion) in 2023, with the UAE buying agricultural products, while Kenya will buy petroleum products, machinery and chemicals.
The United Arab Emirates’ Abu Dhabi National Oil Company (ADNOC) and Emirates National Oil Company are among three Gulf companies chosen by the Ruto government to supply oil to Kenya in 2023 on long-term loans, paving the way for Target.
