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Subject

Lamu port-South Sudan-Ethiopia (LAPSSET) infrastructure corridor

Significance

President Uhuru Kenyatta is expected to visit Lamu this month to mark the start of construction on the first three berths of the new port. The deepwater port is the centrepiece of the 30 billion dollar LAPSSET project that includes road, rail and pipeline components, as well as new airports and resort cities. It is a key component of Kenya's Vision 2030 economic blueprint. A 478 million dollar agreement was signed in August 2014 with China Communication Construction Company (CCCC) to begin construction as soon as September, but the process has been slowed by disputed land ownership and court challenges. Overall, the LAPSSET project is about three years behind an already ambitious schedule.

Impacts

The port upgrade will not yield economic benefits to Kenya for at least five to ten years, given the road upgrades required.

A vast influx of workers from elsewhere in Kenya will exacerbate existing local tensions over land and local political control.

The expanding infrastructure footprint in Lamu County, and elsewhere along the LAPSSET corridor, will provide targets for militant attacks.

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