Kenya seals Ksh40B deal for Galana Kulalu Dam construction
Kenya seals Ksh40B deal for Galana Kulalu Dam construction
Kenya has taken a step toward strengthening national food security with the signing of a Ksh40 billion contract for the construction of the Galana Kulalu Dam, a flagship irrigation project set to transform agriculture in the coastal region.
The dam, to be built at Galana Kulalu in Tana River and Kilifi counties, will enable irrigation of up to 300,000 acres of land, marking a decisive shift from rain-fed agriculture to dependable, large-scale irrigation.
Commenting shortly after the deal was formally signed in Nairobi by National Irrigation Authority Chief Executive Officer Charles Muasya and China Communications Construction Company Kenya Ltd Deputy General Manager Du Shan on Tuesday, December 30, 2025, President William Ruto hailed the agreement, terming it a game-changer in stabilising food prices, among other benefits in the country.
”By strengthening agricultural productivity and food security, we will stabilise food prices, reduce imports, grow exports and expand agro-processing and value addition. This will create thousands of jobs for our young people and drive inclusive economic growth,” Ruto said.
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Once completed, the project is expected to boost agricultural productivity in an area long identified as critical to the country’s food security agenda.
The agreement was signed between the National Irrigation Authority (NIA) and China Communications Construction Company Kenya Ltd.
It covers the engineering, construction and financing of the dam, as well as the development of an extensive irrigation water conveyance system to serve farms across the scheme.
According to Ruto, the dam will have a storage capacity of 305 million cubic metres of water and will deliver up to one billion cubic metres annually for irrigation and other uses. Beyond agriculture, the project will also provide safe drinking water to an estimated 70,000 households, a development expected to improve public health, living standards and overall dignity for communities in the surrounding areas.
The project is being implemented as a joint investment between the Governments of Kenya and the United Arab Emirates, in partnership with China Communications Construction Company Kenya Ltd.
Kenya’s contribution will be financed through the National Infrastructure Fund, with returns structured under an existing Water Purchase Agreement Framework embedded within the country’s legal system.
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