The World Bank is reviewing a US$500 million loan application to upgrade Nairobi’s commuter rail network, a move aimed at transforming urban mobility in the Kenyan capital and supporting the government’s broader public transport strategy.
The proposed project focuses on modernising the 57-kilometre Nairobi-Thika rail corridor, one of the city’s most heavily used commuter routes. Plans include upgrading stations, intermodal hubs, signalling systems, and telecommunications infrastructure, as well as introducing integrated ticketing platforms and rail maintenance operations. The project is also expected to reform the governance and management of Nairobi’s urban transport sector, enhancing efficiency and service delivery.
Currently at the concept stage, the World Bank project is scheduled for approval by its Board of Directors in December 2026. If approved, it will mark a major milestone in Kenya’s ongoing efforts to alleviate chronic traffic congestion in Nairobi, a city home to nearly 5.5 million residents according to World Population data.
“Nairobi’s urban mobility challenges are increasing with rapid population growth and expanding economic activity,” said a transport ministry official. “Modernising the commuter rail system is essential to reduce road congestion, improve travel times, and provide safe, reliable, and affordable transport for residents.”
The commuter rail upgrade is part of a broader transport strategy that includes the expansion of Bus Rapid Transit (BRT) services. Last week, the Kenya Urban Roads Authority (KURA) announced an agreement with the South Korean consortium YOUNGJIN Joint Venture to construct Line 5 of Nairobi’s BRT network. Together, rail and BRT services are expected to form an integrated public transport system, providing alternatives to private vehicles and easing pressure on Nairobi’s roads, where congestion remains a persistent problem.
For decades, Nairobi’s public transport has been dominated by matatus, privately operated minibuses that carry the majority of commuters. While affordable, the system is often fragmented, leading to inefficiencies, safety concerns, and traffic congestion. Authorities hope that integrating commuter rail with BRT corridors and modern transport hubs will encourage commuters to shift from road to rail-based travel, reducing both journey times and vehicular emissions.
The project also aims to address operational challenges facing the rail system, including outdated signalling equipment and limited maintenance facilities, which have constrained service frequency and reliability. Upgraded infrastructure, coupled with digital ticketing systems and modern operations management, is expected to enhance both commuter experience and revenue collection, making the system more financially sustainable.
In addition to transport benefits, the upgrade is projected to generate employment opportunities during the construction and operational phases. Local content policies will ensure that Kenyan firms participate in construction, supply of materials, and provision of technical services, further boosting the domestic economy.
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The World Bank’s involvement underscores the institution’s commitment to sustainable urban development in Africa. By financing large-scale infrastructure projects that combine modern transport technology with governance reform, the Bank aims to support cities like Nairobi in managing rapid urbanisation while fostering economic growth.
Kenya’s Ministry of Transport has indicated that this initiative will complement other ongoing urban projects, including road upgrades, pedestrian-friendly corridors, and policy reforms aimed at improving public transport regulation. The combination of investment, policy, and technology is intended to create a modern, safe, and efficient urban mobility ecosystem for Nairobi’s residents.
Once implemented, the upgraded commuter rail system is expected to significantly reduce travel times between Thika and Nairobi, provide a reliable alternative to road transport, and improve connectivity for commuters across the metropolitan area. With the World Bank’s support, authorities are confident that Nairobi can transition to a more sustainable and integrated transport network, serving as a model for other fast-growing African cities.
