EU grants US$600 million for Kenya's infrastructure and transport

road jbdodane flickrKenya has received a US$600mn grant from the European Union (EU) to develop public transport infrastructure and agriculture

According to the EU, part of the funds would be spent on Nairobi’s public transport system to reduce congestion. The remaining cash will be used to boost food production, improve drought management and governance.

Ethiopia, Tanzania and Somalia are also expected to sign similar agreements amounting to over US$2.4bn as part of the 11th European Development Fund (EDF).

According to the Kenya’s national treasury, the EU has already released funds worth US$35mn to address traffic congestion in Nairobi. It is estimated that between US$12mn and US$94mn would be set aside for road development. 

The tenth EDF had a budget of US$30.9bn, which expired in December 2013. The European Development Fund is EU’s primary agent of aid to African, Caribbean and Pacific nations. In mid-June 2014, 79 African, Caribbean and Pacific nations met in Nairobi for three days to discuss trade issues with the EU. 

During the meeting, the nations sought greater market access to Europe for bananas, cotton and sugar. 


– Mwangi Mumero 

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