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Africa Business News of Monday, 3 February 2020

Source: nation.co.ke

Naivasha SGR port lies idle two months after it was launched

President Uhuru Kenyatta flags off the first freight train connecting Nairobi to Naivasha President Uhuru Kenyatta flags off the first freight train connecting Nairobi to Naivasha

The Naivasha inland container depot (ICD) has not received a cargo train more than a month after President Uhuru Kenyatta launched freight operations to the Rift Valley town, raising questions on the cause of the delay.

On December 17, 2019, President Kenyatta launched the extended standard gauge railway (SGR) freight service from Mombasa to the Naivasha ICD, promising faster transportation of cargo to western Kenya and the neighbouring countries.

The controversial SGR project has so far cost $5 billion in Chinese loans, with no clarity yet on its viability and Kenya’s ability to repay the massive debt.

TWO TRAINS

During the launch, President Kenyatta said two trains would initially serve the Naivasha ICD with cargo destined for neighboring countries. He added that two shipping lines had committed to transport goods directly from Mombasa to Naivasha.

However, the $1.5 billion SGR Phase 2A facility is lying idle more than a month after the commissioning.