Infrastructure

Work Underway on Sh30bn Isiolo–Modogashe Highway

The road is part of the World Bank–backed 740km Horn of Africa Gateway Project.

Updated on

November 26, 2025

Road construction project — The project also includes fibre optic installation. (Photo: Courtesy)

Construction of the Sh30 billion Isiolo–Garbatulla–Modogashe highway is well underway, advancing a project set to open up a region troubled by insecurity and poor roads.

According to the Kenya National Highways Authority (KeNHA), the 77km Isiolo–Kulamawe section is 45% complete, while the 123km Kulamawe–Modogashe stretch is 40% complete.

The 200km road is part of the World Bank–backed 740km Horn of Africa Gateway Project.

The project, which will be built at a cost of Sh83.7 billion, is expected to improve security in the North East and enhance connectivity among Horn of Africa countries.

It traverses Isiolo, Meru, Wajir, Garissa, and Mandera counties—areas often plagued by deadly bandit attacks and the smuggling of drugs and contraband goods.

The Horn of Africa Gateway Development Project is also aligned with the Lapsset Corridor initiative, which seeks to transform Isiolo town into a resort city.

The Isiolo–Modogashe road is being constructed by China State Construction Engineering Corporation Ltd., and the project includes laying a fibre optic cable along the corridor.

The World Bank has approved Sh500 million to compensate residents displaced by the project, with payments expected to begin next month.

According to KeNHA deputy director Paul Omondi, the National Land Commission has already issued compensation awards to affected persons, paving the way for disbursement.

“We are glad that the World Bank has financed the compensation for package one to the tune of Sh500 million for loss of assets and restoration of livelihoods,” Mr Omondi said. “KeNHA hopes to start paying the affected people at the beginning of December.”

In February 2025, KeNHA confirmed the receipt of the World Bank funding for the project, which is expected to be completed in 2027.

World Bank documents show that Kenya is set to receive a credit of $750 million (Sh97.5 billion) from the International Development Association. Of this amount, the Horn of Africa Gateway Development Project is expected to receive $150 million (Sh19.5 billion) this year.