President William Ruto announced that the extension of the Standard Gauge Railway from Naivasha to Kampala in Uganda, and onwards to Rwanda and to the border of DR Congo begins early next year.
He said the move is aimed at strengthening regional trade and integration between the two countries and the East African Community in general.
Speaking in Osukuru in Tororo District, Uganda, on Sunday when he joined President Yoweri Museveni for the groundbreaking ceremony of the Devki Mega Steel Project, Ruto said the Standard Gauge Railway will be a joint project between Kenya ln project will be launched in January, 2026.
”In January, we will be launching the extension of the SGR from Naivasha to Kampala to connect with Malaba-Kampala line and later to DRC,” he said.
At the same time, Ruto said Kenya and Uganda will jointly extend the petroleum pipeline to the region, including to the DRC, to give impetus to regional integration and trade.
Consequently, Kenya is divesting 65 per cent of shareholding in the Kenya Pipeline Company through the Nairobi Securities Exchange, and the President encouraged public and private entities, and citizens of the EAC to buy shares.
On the relations between the two countries, the President noted that Kenya and Uganda had ratified new cooperation frameworks during a joint ministerial meeting in Nairobi recently.
He explained that both governments had agreed to jointly own the pipeline infrastructure.
”I thank you, Mr President, for agreeing to work with us. The ministers were in Nairobi last week and I have given the necessary guidance on the need for Uganda and Kenya, both public and private, to jointly own the Kenya Pipeline Company,” he said.
The President noted that projects like the petroleum pipeline, SGR and dualling of the Rironi-Nakuru-Eldoret-Malaba road – are meant to provide the region with more connectivity between the ocean and the hinterland.
On the steel industry, President Ruto said by fostering cross-border collaboration in strategic sectors such as steel manufacturing, Kenya seeks to enhance regional self-sufficiency, promote intra-African trade, and strengthen the foundation for collective prosperity.
“This project will provide jobs for our young people, build new value chains for small and medium enterprises, and create opportunities that extend far beyond Uganda’s borders,” Ruto explained.
Ruto pointed out that the Tororo facility employs more than 400 workers, with plans to increase the workforce to 20,000 by 2027 across its East African operations.
Beyond direct job creation, the project will open vast opportunities for companies within the EAC, particularly in the transport, energy, construction, and services sectors, through cross-border supply contracts and strategic joint ventures.
“I take this opportunity to express Kenya’s pride in celebrating the vision and enterprise of Dr Narendra Raval, a distinguished Kenyan industrialist and investor whose commitment, focus, and determination have been instrumental in bringing this industry to life,” he said.
Ruto noted that the steel sector in Africa has become increasingly pivotal in fuelling economic progress throughout the continent.
“Africa’s steel market reached a volume of 39.5 million tonnes in 2024, and is expected to reach a projected 52 million tonnes by 2034, driven by bolstering infrastructure and advancing industrialisation,” he said.
He said Kenya and Uganda are well-positioned to making considerable inroads in the regional and international steel market.
“The establishment of the Tororo Steel Industry sends a powerful message that our countries possess both the capacity and the courage to build globally competitive industries that drive Africa transformation,” the President noted.
Museveni said the launch of the steel project will liberate Africa from exporting raw materials to Europe among other areas.
He expressed concern that the GDP for the United States was three times that of all African countries combined.
“It’s sad that the GDP of a country like the US is three times that of all the African countries combined yet we have rich resources that can uplift the economy of the continent if raw materials undergo value addition before being exported,” he said.
Museveni pointed out that industrial projects only make sense when communities get priority in employment opportunities.
Devki Group Chairman Narendra Raval reaffirmed the company’s policy of hiring, training and integrating workers from the locality into every stage of the operation.
He said the project will create 15,000 direct jobs for the people of Uganda.
“I want to assure the community here that 90 per cent of the jobs will be preserved for the people around here,” Dr Raval pointed out.
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