High expenditure on roads good for business, says Transport and Infrastructure CS Macharia

The Government is banking on the ongoing multi-billion-shilling infrastructure projects in the country to attract private investors by reducing the cost of doing business.

In a move to support cros- border trade, completion of major roads is expected to raise the economic and social welfare of the East Africa Community (EAC).

The projects include the World Bank-funded Sh9.9 billion road link from Eldoret through Northern Kenya to Juba, South Sudan and the Arusha-Holili-Taveta-Voi road being implemented by the Kenya National Highway Authority at the cost of Sh8.4 billion with funding from the African Development Bank.

Acting Ministry of Transport and Infrastructure Cabinet Secretary James Macharia said the roads will not only provide convenient links to neighbouring countries but also support regional development and co-operation.

"Poor road infrastructure has been identified as a deterrent to the development objectives within the East African region. Improving this transport chain will support socio-economic development, promote tourism and foster regional co-operation," said Mr Macharia in a statement.

The roads are expected to reduce travel time between key economic towns, which will significantly reduce transportation costs.

"This will be vital for Kenya in particular, as a country committed in alleviating poverty and improving livelihoods," he added.

Completion of the Arusha-Holili–Taveta-Voi road will go parallel with achieving Kenya's Vision 2030 as well as Tanzania's Development Vision 2025.

"It will also provide a link to northern and north-western Tanzania including landlocked Rwanda and Burundi," said Macharia.

Central Bank of Kenya (CBK) recently blamed heavy spending on infrastructure for the speedy fall of the shilling.

"It's like we have one arm firmly on the brakes and the other firmly on the accelerator," described the CBK Governor Patrick Njoroge.

However, Transport Principal Secretary John Mosonik said the increase in roads projects was a sign of commitment by the State to its development agenda.

"This increases accessibility in carrying out development projects and is in line with the national cohesion integration agenda."