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AfDB Group Board approves USD 217 million to finance vital Horn of Africa Road Project

Wednesday, 01 Dec 2021
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The Board of Directors of the African Development Bank (AfDB) Group has approved USD 217 million in loans to fund a project that will improve road transport services in Kenya’s northeastern region. 
 
The loans comprise USD 75 million from the non-concessional window of the Bank Group and USD 142 million from the concessional lending division, known as the African Development Fund.  
 
The Kenyan government will contribute USD 6.3 million. The USD 223.3 million project covers 740 km Isiolo-Mandera Corridor and will enhance regional integration and trade between Kenya, Somalia and Ethiopia.  
 
About 867,000 people who reside around the project area are expected to benefit from the initiative. 
 
The road network, including the 142 km El Wak-Rhamu stretch, is one of the four priority corridors identified under the Horn of Africa Initiative, driven by the governments of Kenya, Ethiopia, Somalia, Sudan, Eritrea and Djibouti.  
 
The initiative is supported by the African Development Bank, the World Bank and the European Union. 
 
The road project is expected to contribute to socio-economic development of communities along the corridor, which is characterised by high poverty levels and prone to insecurity.
 
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