A sudden breakdown in the Kenya Revenue Authority (KRA) system has brought operations at the Port of Mombasa to a standstill, causing significant financial losses. Kenya’s tea sector, which typically generates around $25 million (Sh3.2 billion) per week by exporting roughly 150 tea containers daily, has been particularly affected, with a backlog of 750 containers now stranded at the port. Exporters are incurring heavy losses from mounting demurrage and logistics
Category: East Africa
Yapi Merkezi Secures $3 Billion Contract for Major Railway Project in Uganda
Turkish engineering firm Yapi Merkezi has won a $3 billion contract to construct a 272-kilometer railway line connecting Kampala to Malaba, a key Ugandan border point with Kenya, the country’s preferred route for port access. This project marks one of the most substantial international undertakings for a Turkish construction company. Perez Wamburu, coordinator of Uganda’s Standard Gauge Railway (SGR) project, shared that this agreement covers the first phase of a
Workers Strike Over Adani Group Deal Disrupts Operations at Nairobi’s Main Airport
A strike by workers at Nairobi’s Jomo Kenyatta International Airport (JKIA) led to widespread flight delays and cancellations on Wednesday, affecting both departing and arriving passengers, according to Kenya Airways. The Kenya Aviation Workers Union, the country’s largest aviation workers’ union, initiated the industrial action in response to a proposed agreement allowing India’s Adani Group to lease JKIA for 30 years. The union expressed concerns that the deal, announced in
Kenya’s High Court Blocks Adani Group Airport Lease Amid Public Concerns
Kenya’s High Court has temporarily halted a proposed deal for India’s Adani Group to lease Jomo Kenyatta International Airport (JKIA) for 30 years in exchange for upgrading the facility, according to court documents. The Law Society of Kenya (LSK) and the Kenya Human Rights Commission (KHRC) jointly filed an application on Monday, arguing that Kenya could independently raise the $1.85 billion needed to modernize the airport in Nairobi. They raised
Sh102.18 billion recovered from Tanzanian bridge in 9 years
The Nyerere Bridge in Tanzania has generated Sh102.18 billion since its opening in 2016, according to the Deputy Minister of State in the Prime Minister’s Office (Labour, Youth Employment, and People with Disabilities), Mr. Patrobas Katambi. However, the investment funds for the bridge are not yet fully recovered. Mr. Katambi made this announcement while addressing parliamentary inquiries reported by The Citizen. The bridge, a project of the National Social Security
Ethiopian Airlines Leases Aircraft Amid Boeing Delivery Delays
Ethiopian Airlines, Africa’s largest carrier, has been forced to lease aircraft to sustain its expansion plans due to delays from Boeing Co. in delivering new planes. Over half of Ethiopian Airlines’ fleet consists of Boeing models. CEO Mesfin Tasew Bekele revealed that the airline has been awaiting deliveries of 737 Max jets and 777 freighters since April. Boeing has not provided a new timeline for these deliveries, impacting the airline’s
Tanzania-DP World Partnership to Eliminate Container Fees and Reduce Port Costs
Tanzania’s partnership with Dubai-based logistics giant DP World is set to bring significant cost reductions at the Dar es Salaam port, including the elimination of container demurrage fees. This move is expected to save the port approximately $600 million (Sh1.62 trillion) annually, according to Zanzibar Investment News. Plasduce Mbossa, Director-General of the Tanzania Ports Authority (TPA), announced that the typical $1,000 fee for delayed containers at the port has been
Ethiopia to Build Africa’s Largest Airport Near Addis Ababa
Ethiopia has embarked on a significant initiative to enhance its aviation infrastructure by signing an agreement to design a new airport near Bishoftu, approximately 45 kilometers from Addis Ababa. Spearheaded by Ethiopian Airlines, the project aims to establish the largest airport in Africa, with completion targeted for 2029. The new facility will feature four runways and is designed to accommodate up to 110 million passengers annually, making it the continent’s
Uganda Airlines Expands Routes to Abuja, Lusaka, and Harare Amid Criticism
Uganda Airlines has announced the expansion of its routes to Abuja, Lusaka, and Harare, aiming to strengthen its market position and boost revenue. The airline revealed the decision on Wednesday, highlighting its goal to enhance fleet utilization. However, some critics have raised concerns about the new destinations being commercially risky grey markets. According to the East African, the Abuja service is set to launch on September 12, 2024, with Lusaka
Tanzania Modernizes Transportation with New Electric Trains from South Korea
Tanzania is rapidly modernizing its transportation infrastructure with several initiatives, including the purchase of two new electric multiple-unit (EMU) trains from South Korea. This addition follows the acquisition of an EMU in April, bringing the total number of EMUs in the country to three. The new electric trains are scheduled to be commissioned by the end of the month. A report by East African revealed that Tanzania has acquired the