A major Nairobi transport project, funded through a partnership with the United States, has stalled due to a shift in U.S. foreign aid policy under the Trump administration, according to a Kenyan government report.
The Kenya Millennium Development Fund (KMDF) project, valued at Ksh7.76 billion, was designed to create a modern, multimodal transport system for the Nairobi Metropolitan Area.
Initiated during President William Ruto’s 2023 visit with then-President Joe Biden, the plan aimed to integrate transport networks, ease the city’s chronic traffic congestion, and promote safer, greener transit options.
Under the original agreement, the U.S. was to contribute Ksh5.8 billion, with Kenya providing the remaining Ksh1.56 billion. A key component—a GIS platform for managing urban transport data—is now stalled at only 30% completion.
The suspension is part of a broader review of bilateral agreements since the U.S. administration change. The Kenyan Treasury has indicated it will seek to revive the project under the Nairobi Metropolitan Area Transport Authority (NaMATA) in the next financial year, pending a resolution of the funding issues.
By James Kisoo
