Birth of Kenya's Konza Techno City is in October.

Proposed Konza Technocity: Attracting serious investors

THE GROUND BREAKING CEREMONY  for Kenya’s Konza Techno City will be held in October this year, we can report.  This will pave the way for construction work on the US$7 billion project to begin.

It is expected that, after the ground breaking ceremony, work on roads, water and waste water disposal systems will be the first off the blocks. Already a Chinese government owned Construction Company, Shanghai Corporation for Foreign Economic & Technological Cooperation (SFECO) is eyeing construction of roads and other social infrastructure.

  The government is constructing a US$200 million multipurpose water dam expected to be complete by October 2013. The dam will pump one million litres of water to the city.

The proposed city has generated a lot of interest among both investors and developers a like hastening the pace of implementation. Reports have it that some 200 investors are eyeing space in the metropolis, dubbed Africa’s silicon Savannah.

Such fast pace at which the building blocks of the city’s development is being put in place has critics confounded.  In just about one month, several contractors are in place. The Master Planner, HR & A Advisors of New York is already in Place.  A Swedish government firm has bagged the tender to develop the science park and market the project among investors.

The BPO park
Also on the queue for various segments of the project are other experienced developers such as Egypt’s Smart Villages and the Korea Business Centre. The intense interest in the project is not surprising, returns on investment are mouth-watering. Return on leasing ranges between 12 and 15 per cent while capital gains rate is estimated at 20 per cent.


Konza City located only 60 KM south west of Nairobi aims to catapult Kenya into an ICT giant by 2030. It will place Kenya firmly on the competition seat with such global BPO, KPO and ITO giants as India and China. Dubbed the  silicon Savannah of Africa, Konza ICT City is a green field project that will be home of Africa's Computerisation drive–something similar to Silicon Valley in the US.

 The 20-year project will be developed in four five-year phases for a total estimated cost of US$7 billion. The first phase will cost an estimated US$2.3 billion of which infrastructure will cost US$1 billion. The rest will be spent on the development broken under: the ICT Park US$200 million, Residential US$975 million and the Central Business District will cost US$125 million. Each phase will last five years.

The second phase will cost an estimated US$1.7 billion of which infrastructure will cost $400million; the residential area will cost US$850 million while the CBD will cost another $100 million while the BPO will take another $300 million. The university, which shall be built at this stage, will cost some $50 million.

The third phase will cost an estimated $2.1 billion of which infrastructure will consume $600 million. The BPO will cost another $400million, CBD $300 million, Science Park $100Million and Residential $700 million.

In the final phase, BPO will cost $450 million, residential $250 million, Science park $100million while infrastructure will cost $150 million, says an analysis posted on their website, www.konzacity.co.ke. At the end of it all, infrastructure will swallow an estimated $2.1 billion while other developed will cost some $4.8 billion.


The Techno city will be linked to Nairobi by Mombasa Road and served by three high speed fibre optic networks. A high speed Railway link to Jomo Kenya international Airport, is also in the works.
For updates on this story Go to:http://eaers.blogspot.com/2013/01/up-next-africas-silicon-savannah.html

Comments

Post a Comment

Popular posts from this blog

Kenya's SGR Loan: The Former Controller and Auditor General Lied

By The Conversation In December 2018, a leaked letter from the Kenyan auditor-general’s office sparked a rumor that Kenya had staked its bustling Mombasa Port as collateral for the Chinese-financed Standard Gauge Railway. Our new research shows why the collateral rumour is wrong. The former auditor-general, Edward Ouko, was completing the 2017/18 audit of the national ports authority. He warned that the port authority’s assets – of which Mombasa Port is the most valuable – risked being taken over by China Eximbank if Kenya defaulted on the US$3.6 billion railway loans. The profitable Mombasa Port is East Africa’s main international trade gateway. Launched in 2017, the railway was intended to seamlessly link the port to Kenya’s capital, Nairobi, and landlocked countries beyond. The Kenyan fears mirrored another tale widely circulated earlier in 2018. In that story, China was said to have “seized” Hambantota Port in Sri Lanka when the island nation had trouble repaying Chinese lo
Read more

Construction of Tanzania’s” bridge over the sea” begins

Image
A prototype of the entire project on Kigamboni side CONSTRUCTION OF THE long awaited Kigamboni Bridge in Dar-es-salaam, Tanzania, has begun. Tanzania’s President, Jakaya Kikwete, laid the foundation stone two weeks ago, signaling the beginning of construction works.  The US$138 Million toll-road will be completed in 36 months. The works include the construction of a 680M long-four lane - bridge across the Indian Ocean, 2.5 Km of six lanes highway, pedestrian paths and a toll plaza The bridge will be linked to Dar city by a 1.0 KM six lane highway while to Kigamboni; it shall be linked by a 1.5 KM six lane road. In total the works include the bridge and 2.5 KM of roads, all totaling 3.2 KM.  According to a note from Tanzania’s Ministry of Works, the bridge is a joint venture between the Government of Tanzania and NSSF.  NSSF will own 60 per cent stake while GOT owns the rest.  The same note says that on completion its management will be concessioned for 25 years.  T
Read more

President Jimmi Richard Wanjigi!

Image
 President JW  A Raila win in Kenya’s presidential elections will be a win for Jimmi Richard Wanjigi, this Publication can confidently report. Raila will only be a vassal President, with real power lying with JW as they refer to him.  They will have no power for he has bought them and supported their campaigns. Jimmi has been plotting to bring down President Uhuru Kenyatta’s government since 2013 because the government has stood on his way to fleecing Kenyans. Wanjigi brought together the then competing opposition groups URP and TNA led by William Ruto and Uhuru Kenyatta, respectively in 2012, ahead of that year’s election.  His idea was to put in power a government that will look the other way as he plunders Kenya. Among his pet project that he hoped the new government will allow him to implement, was the US$ 9 billion Standard Gauge Railway and the US$ 600 million second runway and passenger terminal at the Jomo Kenyatta International Airport in Nairobi. The two projects,
Read more