President William Ruto’s administration has secured Sh150 billion for the development of the Dongo Kundu Special Economic Zone in Likoni Mombasa.
Trade CS Moses Kuria said on Monday the African Export–Import Bank (Afrexim Bank) will fund the construction of a berth, several industries, and an 11km standard gauge railway extension line from the Port of Mombasa to Dongo Kundu.
“We have already received some investors from the Afriexim Bank who will put up industries, a new berth and an extension of 11 kilometres SGR to Dongo Kundu,” he said.
“If you ask me, where we would have raised such a huge amount of money from, I would not be able to answer. But we are glad that the investors are ready to pump in Sh150 billion at Dongo Kundu.”
Kuria was speaking at Bonje in Jomvu, Mombasa county, during the groundbreaking ceremony for the construction of Mombasa County Aggregation and Industrial Park.
He said the 3,000-acre Dongo Kundu Special Economic Zone will employ in excess of 100,000 people once the industries at the site become operational.
“We have a bigger vision for Mombasa,” he said.
In February this year, President Ruto witnessed the groundbreaking ceremony of Tanzania’s biggest gas company- Taifa Gas at Dongo Kundu SEZ.
Taifa Gas Investment SEZ Limited, which became the first company to set base at the Dongo Kundu SEZ, was expected to shake up the energy industry forcing the prices downwards.
The company, owned by Tanzania’s businessman Rostam Aziz, was given 30 acres in Dongo Kundu to set up a 30,000 metric tonnes gas handling facility.
The project was expected to take 12 months.
Taifa Gas said they were investing $130 million (Sh16 billion) in a liquefied petroleum gas (LPG) import, storage and distribution plant in Dongo Kundu.
Last December, during his tour to Mombasa, President Ruto said he was keen to fast-track the Dongo Kundu SEZ projects to be ready by 2025.
The Ruto administration is expected to set up 13 key sectors at the Dongo Kundu SEZ.
The sectors include agro-processing, oil and gas, petrochemical industries, green energy and renewables, blue economy, and water desalination and service provision.
Other key sectors that would be developed at the site are heavy metal and steel, cotton, textile and apparel, pharmaceuticals, automotive manufacturing and assembly, transport and freight logistics services, warehousing cargo bulk-breaking and consolidation services, and business support services.