RWYS. II

closed

The Second Railway Project supports Government efforts to lower transportation costs by promoting efficiency in the railway system. It will also help the Kenya Railways Corporation (KR) realize its economic role as a carrier of long distance and bulk cargo and main carrier of traffic for the landlocked countries. In this context, the project entails three components. They include (a) institutional development which involves the reorientation of Kenya Railway's management toward more commercial practices, introduction of modern management skills, and human resource development; and (b) increased motive power through the purchase of locomotive spare parts, improved locomotive repair and maintenance, and training. Finally, the project provides for (c) improved train operations through organizational changes, minor capital investments, and technical assistance. The proposed project is expected to benefit Kenya and its railway significantly. The main quantified economic benefit expected to derive from the project are savings in transportation costs.