World Bank Backs Kenya’s New National Infrastructure Fund, Endorses Plan for 50 Mega Dams

 

By Brian 

The World Bank has formally endorsed Kenya’s ambitious plan to establish a National Infrastructure Fund, a move President William Ruto says will accelerate the country’s economic transformation.

In a statement issued on Tuesday, November 18, President Ruto announced that the global lender had backed the government’s wide-ranging development blueprint, which seeks to expand the nation’s road and rail networks, scale up irrigation systems, and boost energy generation.

According to the President, the World Bank offered particular praise for Kenya’s proposal to construct 50 mega dams aimed at increasing irrigated land by 2.5 million acres. The institution termed the plan Kenya’s most viable path toward sustainable, high-yield agricultural production—especially crucial in a country where 85 percent of land is arid or semi-arid.

“The World Bank has supported Kenya’s bold decision to set up a National Infrastructure Fund to expand the road and rail network, irrigation and energy generation,” President Ruto said after meeting World Bank Africa Group One Executive Director Zarau Kibwe at State House, Nairobi.

The Bank noted that rain-fed agriculture on the country’s 15 percent arable land has reached its production ceiling, making irrigation the next frontier for enhancing food security.

Under the new fund, Kenya plans to mobilize financing to construct 50 large dams, develop 20,000 kilometers of roads—mainly in rural areas—and dualize an additional 2,000 kilometers of highways. The initiative also targets generating an extra 10,000 megawatts of electricity to power industrialization and manufacturing.

Beyond infrastructure, the World Bank reaffirmed its commitment to Kenya’s social development agenda through continued investment in youth empowerment programs.

The institution is financing the National Youth Towards Advancement (NYOTA) project, a major successor to the Kenya Youth Employment and Opportunities Program (KYEOP). Approved in June 2023 as a USD 200 million loan with a total project value of USD 229 million, NYOTA began operations on June 21, 2024, and will run until December 31, 2028.

Implemented by the Micro and Small Enterprise Authority, the Ministry of Youth Affairs, the Arts and Sports, and the National Social Security Fund—with oversight from the World Bank’s Eastern and Southern Africa team—NYOTA aims to promote youth employment, entrepreneurship, and financial resilience across all 47 counties.