A report by the Wall Street Journal has revealed that frequent attacks by the Al Shabaab terrorist group in the northeastern region have stalled Kenya's $25 billion (about Ksh3.2 trillion in the current exchange rates) Lamu Port-South Sudan-Ethiopia Transport (LAPSSET) corridor project.
The ambitious project seeks to transform the Lamu Port into the anchor of an international trade hub connecting the landlocked countries of Ethiopia and South Sudan.
Designed to include roads, railways, oil pipelines, airports, and resort cities, the project has the potential to inject trillions of shillings into the Kenyan economy were it not for the security threats.
If implemented, cargo will transit to the Ethiopian border in Moyale and the South Sudanese border in Nakodok via road and railway, while oil will be transported via pipeline from Lake Turkana to the coast. Ethiopian vessel MV Abbay II docking at the Port of Lamu on May 11, 2024.
