The Usahihi Expressway Limited has issued a statement clarifying reports stating that the government of Kenya has been directed to suspend plans for the Usahihi Nairobi–Mombasa Expressway project.
The National Treasury’s Project Progress and Status Report dated July 5, 2025, indicated that the Public-Private Partnerships (PPP) Committee rejected the road project estimated to cost Ksh468 billion.
However, Usahihi Expressway, in a statement on Friday, July 11, clarified the current status of the project, revealing that feasibility studies are still undergoing review.
The review, according to the company, is being conducted by the Kenya National Highways Authority (KeNHA), the PPP Directorate, and the National Treasury.
“We have also observed with concern a recent statement circulating in the public domain. We wish to clearly state that the information shared is inaccurate and does not represent the true status or progress of the project,” read part of the statement.
“We remain committed to transparency and continued collaboration with all relevant government bodies and stakeholders. Official updates will be shared as soon as substantive information becomes available through the appropriate channels.”
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Usahihi Nairobi–Mombasa Expressway
The project covers the construction of a 419 kilometres, 4-lane Nairobi-Mombasa Expressway as a greenfield project and is being contracted by KeNHA.
Usahihi Nairobi–Mombasa Expressway project’s proposal was approved in December 2023 for the project to progress to Project Development/Feasibility Study.
The Project Development Report (PDR) was subsequently finalised and submitted for approval.
However, the National Treasury said that the PPP Committee determined that the PDR failed to meet the required standards outlined under the PPP Act.
As a result, it recommended that the project be abandoned, though it may be revised and resubmitted for fresh consideration under the same law.
“On 2nd July 2025, it was determined that the PDR did not meet the relevant criteria and should be abandoned in accordance with Section 43(11) (c) of the PPP Act. The proposal may, however, be resubmitted to the Committee for a fresh determination in line with Section 43 (12) of the PPP Act, 2021,” reads part of the National Treasury report.
Also Read: Govt to Drop Ksh468B Nairobi–Mombasa Expressway Project
Everstrong Capital, along with lead arrangers Standard Bank Group and JP Morgan, are organising $3.5 billion (Ksh452 billion) in equity and debt for Usahihi Expressway Limited.
First steps in private financing come from the United States Trade Development Agency, private investors, and other African development agencies.
Further support from the U.S. is expected through U.S. Exim Bank Group and the U.S. Development Finance Corporation.
The local debt component of up to $1 billion (approximately Ksh129 billion) is being raised through the Pack Hunters Club, a CPF-led consortium of key stakeholders in the pensions, insurance, banking and broader long-term financing ecosystem, including Saccos and Islamic finance.
Nairobi-Nakuru-Mau Summit Road project status
Meanwhile, the National Treasury has approved two Privately Initiated Proposals (PIPs) related to the Nairobi-Nakuru-Mau Summit Road project, which is also being contracted by KeNHA.
Still in its Project Progress and Status Report, the ministry said that the PPP Committee has approved two PIPs, with the project now set to enter the development phase.
The first proponent is a consortium of China Road and Bridge Corporation Kenya (CRBC) and the National Social Security Fund (NSSF), while the second proponent is Shandong Hi Speed Road & Bridge International Engineering Co. Ltd.
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