The African Development Bank (AfDB) has approved a $228 million loan to Kenya for upgrading of 172-kilometre road, linking the towns of Isebania on the Tanzanian border and Ahero, an axis located southeast of Lake Victoria.

The road rehabilitation is expected to boost socio-economic development and trade between Kenya and Tanzania, reducing travel time and transport costs. The new highway will have special service roads at commercial centres to boost uptake of goods.

The improvement works planned to start this year are estimated to be complete by 2019.

The Isebania-Kisii-Ahero road forms part of the Sirari corridor, a major trade and transit route linking Tanzania, Kenya and South Sudan. It serves as the main trade route between Mwanza port (Tanzania), Kisumu port (Kenya), and onward to Juba (South Sudan).

The project is estimated to cost $280.26 million and is co-financed by the AfDB (81.4 per cent), the Government of Kenya (14.6 per cent), and the EU-Africa Infrastructure Trust Fund (4 per cent).

The improvement will also entail construction of 77km of feeder roads that connect to the highway, as well as building of three bus terminals complete with market stalls.

“Lower transport will ensure that a greater share of the price of exported goods accrues to producers thereby increasing incomes and reducing poverty,” said Amadou Oumarou, the AfDB director of the Transport and ICT.

The project also includes establishing a specialised department in road accidents treatment at the Nyabondo hospital, located on the highway, and provision of six ambulances. In addition, a traffic accidents monitoring and prevention system will be deployed and road safety campaigns rolled-out by the Kenya National Highways Authority.

The upgrade represents an attempt at improving regional trade which has been on a decline in the last two years.