East Africa Nations Move to Speed Up SGR Project Linking Mombasa to Juba and DRC.

East Africa Nations Move to Speed Up SGR Project Linking Mombasa to Juba and DRC.

From left: Uganda’s State Minister for Transport Fred Byamukama, Kenya’s Cabinet Secretary for Transport and Roads Davis Chirchir, and Luol Deng Foundation CEO Arek A. Deng during a press briefing in Nairobi on the Standard Gauge Railway (SGR) project linking Kenya, Uganda, and South Sudan.

By Jeff Oyugi

Nairobi - November 7, 2025

The governments of Kenya, Uganda and South Sudan have reaffirmed their commitment to fast-tracking the completion of the Standard Gauge Railway (SGR) network linking the Port of Mombasa to Kampala, Juba and ultimately the Democratic Republic of Congo (DRC), in a move aimed at transforming regional trade, logistics efficiency and competitiveness.

Speaking in Nairobi after a high-level consultative meeting, Cabinet Secretary for Transport and Roads, Davis Chirchir, said the three countries are working in close coordination to synchronize construction timelines and financing models for the remaining sections of the Northern Corridor railway system.

"We were in this room most of the morning consulting and exchanging notes on the railway infrastructure that runs across the Northern Corridor from the Port of Mombasa, servicing inland Kenya, Uganda, South Sudan and eventually the DRC," said CS Chirchir. "Kenya has already built the SGR from Mombasa to Naivasha and we are now working on the 262 kilometre stretch to Kisumu, followed by the 107 kilometre 2C section to Malaba."

The Cabinet Secretary noted that because the SGR is a regional project, it is crucial that Kenya and its neighbours work "in sync" to ensure smooth cross-border connectivity and maximize economic impact.“A network that is not built in harmony will not deliver or be optimized," he added.

CS Chirchir revealed that Kenya is in advanced talks with various development partners to achieve financial closure for the next phase of the project. The total investment is projected at about $400 billion, with the government leveraging the 2% Railway Development Levy Fund (RDLF) to anchor domestic financing.

"We already generate about $40 billion annually from the RDLF, and our financial modeling shows that this stream is sufficient to backstop borrowing and attract development partners," he explained.“The goal is to accelerate construction and complete the Naivasha to Kisumu to Malaba section within two to three years once we break ground.”

The government is exploring a blend of financing instruments, including concessional loans, development bank partnerships and freight revenue securitization, to shorten the implementation period. Chirchir emphasized that while railway investments may not yield high financial returns in the short term, they deliver substantial economic and social returns, such as industrial growth, lower transport costs and enhanced regional trade.

"Infrastructure projects like this are nation-building investments. They open up countries for movement of goods and people, spur economic activity and reduce logistics costs. That's the broader return we are pursuing," he said.

The SGR is expected to reduce road congestion, accidents and maintenance costs by shifting bulk cargo transport from roads to rail. In October alone, Kenya Railways recorded its highest-ever monthly cargo volume of 640 million tonnes, up from an average of 500 million tonnes, underscoring growing demand for rail logistics.

Chirchir said the expansion will also support Kenya's green transition and carbon reduction goals, noting that rail transport offers a better carbon footprint and lower emissions compared to trucks.

"We're moving fast on e-mobility, including exploring the use of clean, renewable energy to power trains. Kenya has abundant wind, solar and geothermal resources, which can run our transport system sustainably and at lower cost," he said.

The Transport CS confirmed that Kenya, Uganda and South Sudan have given their technical teams nine weeks to finalize detailed cargo volume assessments and business viability studies to guide construction schedules.

State Minister for Transport Uganda Fred Byamukama, echoed the sentiment, noting that rail transport will drastically reduce logistics costs and unlock regional markets.

"East Africa spends heavily repairing roads because most of our cargo moves by road," said Fred“We want to shift that cargo to rail from Mombasa to Nairobi, Naivasha, Kisumu, Malaba, Gulu, Nimule and Juba. Once operational, this corridor will transform the economies of our three nations.”

He added that the project would open new trade routes into the DRC, making commodities cheaper and boosting exports from Kenya and Uganda.

Chirchir also revealed that Kenya is finalizing the Kenya Railways Bill 2026, which will unbundle railway infrastructure from freight operations to encourage private sector participation.

"The idea is to separate ownership of infrastructure from cargo operations similar to how roads work. Private companies will be able to run their locomotives on the government owned track network, paying a toll for use,," he said.

The bill will pave the way for multiple freight and passenger service operators to use the SGR, improving efficiency and competition while generating additional revenue for infrastructure maintenance.

The renewed commitment from Kenya, Uganda and South Sudan signals a major milestone in efforts to create an integrated regional transport network. Once complete, the SGR corridor from Mombasa to Juba and the DRC border is expected to redefine logistics across East and Central Africa cutting transport costs, improving trade efficiency and driving economic growth for over 300 million people in the region.

"We are ready to move," concluded CS Chirchir. "Our focus is to synchronize, finance and deliver this transformative infrastructure that will make East Africa one of the most competitive trade corridors in the world.”