China to fund SGR extension, Nithi Bridge construction under newly signed 20 agreements
In total, 20 Memoranda of Understanding (MoUs) and cooperation frameworks were signed, targeting sectors such as infrastructure, trade, digital economy, people-to-people exchanges, science and technology, and education.
China has committed to financing major infrastructure projects in Kenya, including the extension of the Standard Gauge Railway (SGR) from Naivasha to Malaba, expansion of the Nairobi-Nakuru-Mau Summit highway, upgrades to the Kiambu-Northern Bypass and Eldoret Bypass, and construction of the Nithi Bridge.
The commitment is part of Kenya and China’s newly signed multi-billion shilling deals sealed during President William Ruto’s State Visit to China.
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During his inaugural trip to China, President Ruto led a high-level government delegation for bilateral talks with Chinese President Xi Jinping. The discussions elevated Kenya-China relations to a Comprehensive Strategic Partnership in the New Era and yielded key diplomatic and economic milestones across trade, infrastructure, education, technology, and cultural cooperation.
In total, 20 Memoranda of Understanding (MoUs) and cooperation frameworks were signed, targeting sectors such as infrastructure, trade, digital economy, people-to-people exchanges, science and technology, and education.
“These agreements open a new frontier of collaboration that is mutually beneficial and transformative. Our Chinese partners will invest significant resources to improve our road infrastructure, education, health, agriculture, blue economy, green energy, and ICT sectors, among others,” Ruto said.
“These commitments are further evidence of China's resolute support to our efforts to grow our economy, create jobs for our youth, and unlock the untapped resources of our great nation.”
The infrastructure commitments, which include strategic connectivity projects like the SGR extension and major road expansions, aim to strengthen Kenya’s role as a key regional logistics hub under the Belt and Road Initiative (BRI).
Ruto said China will channel investments through Public-Private Partnerships, accelerating the development and integration of East Africa’s transport network.
China also pledged support for urban mobility through the Intelligent Transport System and Junction Improvement Project in Nairobi. The initiative is set to revolutionise traffic management by automating traffic flow and digitising penalty payments.
Additionally, the two nations signed financing instruments for the implementation of the TVET III Project, designed to equip technical institutions and enhance skills among Kenya’s youth.
China further committed to supporting Kenya’s Universal Health Coverage agenda under the Bottom-Up Economic Transformation Agenda by providing grants for hospital infrastructure and encouraging private sector investment in pharmaceutical manufacturing.
In the digital sector, the two countries agreed to deepen cooperation in rolling out the National Digital Superhighway Programme, which includes the expansion of the national fibre optic network. They also affirmed collaboration in water and road infrastructure development.
A major highlight of the bilateral talks was the signing of a Framework Agreement on Economic Partnership for Shared Development. The agreement lays the groundwork for a comprehensive trade deal and aims to boost market access for Kenyan exports, including tea, coffee, avocado, macadamia and other agricultural produce.
President Xi praised Kenya’s economic reforms and reaffirmed China’s support for the country’s development journey. “China is proud to support Kenya’s development journey, and we will continue to align the Belt and Road Initiative with Kenya’s national development agenda.”
China also expressed support for Kenya’s efforts on liability management and sustained economic reforms aimed at creating fiscal space for sustainable growth.
On peace and security, both leaders reaffirmed cooperation in promoting regional stability and green energy development. President Ruto recognised China’s role in supporting peace in the Horn of Africa and the Great Lakes Region. President Xi, in turn, lauded Kenya’s participation in the UN Multinational Security Support Mission in Haiti.
At the Kenya-China Private Sector Roundtable and Business Forum, President Ruto oversaw the signing of investment deals worth $1.06 billion (Sh137 billion). The agreements span key sectors such as manufacturing, agriculture, tourism and infrastructure and are projected to create over 28,000 jobs countrywide.
Among the notable projects are a Special Economic Zone in Kilifi County expected to generate 5,000 jobs, manufacturing expansions in Machakos, Murang’a, and Mombasa and agricultural initiatives in Kajiado and Baringo counties focused on poultry, aloe, and vineyard farming, expected to create 10,500 jobs.
“As we forge ahead, we are not just building infrastructure and trade; we are building trust, mutual respect, and shared prosperity,” Ruto said during the forum.
The President will conclude his visit on Friday with a tour of Fujian Province, a major manufacturing base in south-eastern China, where he is expected to engage with Chinese industrial leaders, particularly in the e-mobility and tea sectors, to pitch investment opportunities in Kenya’s growing manufacturing ecosystem.
State House Spokesperson Hussein Mohamed described the visit as a “diplomatic and economic triumph” that cements Kenya’s position as a strategic BRI and regional trade partner.
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