SGR passenger ticket sales hit Sh2 billion in half-year despite fare hike

The fare adjustments, implemented on January 1, 2024, saw first-class tickets jump from Sh3,000 to Sh4,500, while economy class tickets rose from Sh1,000 to Sh1,500 for the same distance.
Revenue from passenger tickets on the Standard Gauge Railway (SGR) crossed the Sh2 billion threshold in the first six months of 2025, driven by rising passenger numbers and last year’s fare increases.
Figures indicate that the Madaraka Express generated Sh2.068 billion in revenue from January to June, up 11.65 per cent from Sh1.85 billion collected during the same period in 2024.
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The growth coincided with a rebound in passenger traffic, as 1.18 million people used the trains, recovering from the slowdown seen in the previous year when fares were doubled on routes linking Nairobi and Mombasa.
The fare adjustments, implemented on January 1, 2024, saw first-class tickets jump from Sh3,000 to Sh4,500, while economy class tickets rose from Sh1,000 to Sh1,500 for the same distance.
Kenya Railways Corporation (KRC) said the increase was necessary to meet growing fuel costs affecting both inter-county and express services.
The higher charges initially prompted a backlash from travellers, with many opting for cheaper road transport.
KRC cited rising fuel costs as the reason for the price adjustment. Public frustration over the increased cost of travel has grown, even as the government continues to rely heavily on taxpayers to support the railway’s operations.
Passenger traffic in the first half of 2024 had fallen to 1.12 million, down from 1.24 million in 2023, highlighting the impact of the fare revision.
The latest rebound is expected to strengthen KRC’s efforts to cover operational costs without relying heavily on Treasury support.
Previously, the corporation had sought billions from the government to meet expenses, including payments to Africa Star Railway Operation Company Limited, the Chinese firm managing the trains since 2017.
Despite covering day-to-day operations, the passenger and freight services have not yet generated enough revenue to service the massive loans obtained from China to build the railway.
The resurgence in ticket sales comes as the SGR prepares for extension from Naivasha to Malaba, raising hopes of further growth in passengers and revenue.
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