Kenya construction and infrastructure sector to grow by 9% says BMI
The Kenya construction and infrastructure sector is anticipating 9% year-on-year growth in 2015 according to Business Monitor International’s Kenya Infrastructure Report Q3 2015 released this month. The growth is expected to continue until 2024.
Interest in the sector will be driven by successful issuance of Eurobond which will also boost government’s ability to finance infrastructure developments, reports BMI.
Key developments include a USD1.2bn project to connect Kenya, Zambia, and Tanzania electricity grid, which is likely to earn revenues for the countries through exportation of electricity and will alleviate power outages says Christopher Yaluma, Zambia’s Minister of Mines, Energy and Water.
The project will see countries connected by 1,600 km of power transmission lines. It is expected to start at the end of 2015 and be completed by December 2018.
Kenya has rolled out a massive road annuity infrastructure programme that will see construction and/or rehabilitation of 10,000km of roads by local and international contractors.
Kenya is also undertaking the LAPSSET project, where a railway network and port of Lamu are anticipated.