The most recent data from the Kenya National Bureau of Statistics (KNBS) indicates that despite a notable decline in passenger numbers, the Standard Gauge Railway (SGR) experienced a revenue surge of Ksh.220 million between January and March 2024. The 2024 Leading Economic Indicators Report highlights a rise in passenger revenue from Ksh.660 million in the first quarter of 2023 to Ksh.880 million during the same period in 2024, coinciding with the implementation of new fare prices effective from January 1, 2024.
Under the revised fare structure, passengers traveling from Nairobi to Mombasa now face an additional Ksh.500 charge for economy class and Ksh.4,500 for first class, compared to previous rates of Ksh.3,000. Kenya Railways attributed this adjustment to increased fuel costs impacting operational expenses.
Despite the revenue growth, there was a significant reduction of 65,833 passengers during this timeframe, indicating the strain the fare hike imposed on travelers amidst economic challenges. In February 2024, social media circulated images of deserted SGR trains, reflecting the economic strain on passengers. However, Kenya Railways dismissed these images, assuring normal service operations.
The SGR, with a capacity of 1,260 passengers and a 70-tonne luggage carrier, saw a decline in passenger numbers from 192,376 in January 2024 to 158,652 in February, rebounding slightly to 180,645 in March. In contrast, 2023 recorded monthly passenger figures ranging from 163,016 in February to peaks of 304,605 in December.
Despite the decline in passenger numbers, the SGR generated Ksh2.9 billion in passenger revenue in 2023 and has already amassed Ksh.880 million in 2024. Kenya Railways Managing Director Phillip Mainga announced plans to bolster service efficiency by adding 19 coaches, including business class, first class, and economy coaches.
Furthermore, the government outlined a Ksh.100 billion investment to modernize the SGR line by July 2026, with plans to extend it from Naivasha to Malaba, Kampala in Uganda, and the Democratic Republic of Congo (DRC), aiming to strengthen trade ties between nations. President William Ruto and Ugandan President Yoweri Museveni have committed to mobilizing funds for the project, emphasizing its significance for regional connectivity and economic sustainability.
Presently, SGR services include Inter-County, Afternoon Express, and Night Express, catering to passengers across six counties, namely Kilifi, Kwale, Taita Taveta, Makueni, Machakos, and Kajiado.
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