The government has announced the construction of a Sh40 billion dam that will unlock large-scale irrigation at the Galana Kulalu food security project.
Located along the Galana River on the border of Kilifi and Tana River counties, the dam will guarantee adequate water supply to the irrigation project aimed at boosting food production and reducing Kenya’s overreliance on rain-fed agriculture.
President William Ruto said once complete, the dam with a capacity of 305 million cubic metres, will irrigate 300, 000 acres of land. It will store water during the rainy season for irrigation during dry periods, ensuring year-round farming.
FINANCING
The dam is a joint investment project between the Governments of Kenya and the United Arab Emirates, and China Communications Construction Company Kenya Ltd will also supply safe drinking water to 70,000 households, improving health and dignity for local communities.
The contractual agreement was signed between the National irrigation Authority and the China Communications Construction Company Kenya Ltd and covers engineering, construction and financing of the dam and its irrigation water conveyance system.
“By strengthening agricultural productivity and food security, we will stabilize 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,” Dr Ruto said.
INFRASTRUCTURE FUND
The President said Kenya’s contribution will come from the National Infrastructure Fund and the return on this investment will be achieved through the Water Purchase Agreement Framework.
The wider project spanning 1.5 million acres regained momentum in 2025 after years of delays and skepticism following a Public Private Partnership Framework that attracted three investors to farm sections of the expansive land.
Selu Limited, Nyumbani and UAE’ Al Dahra have been allocated 20, 000 acres, 50, 000 acres and 180, 000 acres respectively.
EXPANSIVE LAND
Kenya recently secured Sh12.5 billion investment from the private partner Selu Limited, money that went towards construction of 600, 000 cubic metres reservoirs as well as electrification (power plant) project that seeks to reduce the use of diesel to power the farm.
The money also took care of farm roads to facilitate movement of goods and produce within the expansive land.
The investor has also contracted a Korean firm to set up a solar water pumping system with a capacity of 2.5 megawatts of power.
