3 February 2014

Kenya: "Sillicon Savannah" Set to Take Much Longer Time

The construction of the much anticipated Konza Techno City might take a little more time than expected following challenges being faced in the public procurement process.

This was disclosed by the Information Communications and Technology Cabinet Secretary, Dr. Fred Matiangi, during the inauguration of the new board of ICT Authority at Teleposta Towers.

"This is a multi-billion project that needs to be handled with utmost care. The whole project is bureaucratic and has to follow various approvals. The whole project doesn't rely solely on the ministry of ICT but also on other ministries including the ministry of water and the ministry energy."He said.

He urged approving authorities within the government such as the National Environmental Management Agency and the Lands ministry to work faster.

Dubbed as "where African silicon savannah begins", Konza Techno City is a project that is being marketed by the Kenyan government through Kenya ICT Board. The park is set to host business process outsourcing (BPO) ventures, a science park, a convention centre, shopping malls, hotels, international schools and health facilities project was allowed by the Parliament Account Committee and endorsed by the Kenyan Government.

The city is be located in Makueni County. It will be built in 5000 acres of land 64 km south of Nairobi. The project is estimated to cost Kshs 1.2 trillion (approx US$14.5b).

The project was allocated about Sh793 million in the 2013/14 budget for basic infrastructure, but the money has not been spent due to the strict procurement laws.

The official ground breaking that took place in 2012 sent a breeze of excitement in the real estate market as investors eyed opportunities in and around the planned city but this might take a little bit longer.

Last year, the government got a Sh8.7 billion ($100 million) loan from the African Development Bank to construct a dam to supply water to the proposed Konza city.

The project is marketed as key driver of Kenya Vision 2030 and once completed it is bound to open up more grand opportunities to investors and enhance growth in the Information Communication and Technology industry.

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