Kenya’s ambitious plans to harness advanced technology to reduce Nairobi’s chaotic transport system have suffered a major blow following the United States’ decision to halt $59.9 million (KSh7.76 billion) in funding.
The cancellation, reportedly enacted under the Trump administration’s foreign aid review, brings to a standstill the development of a critical Geographic Information System (GIS) platform designed to provide real-time intelligence for the city’s traffic and mobility network.
The sophisticated GIS platform was intended to be the backbone of Nairobi’s modern traffic management strategy. By leveraging real-time data, the system aimed to optimize traffic flow and signal timing, improve public transport scheduling and provide commuters with accurate, up-to-the-minute travel information.
The sudden withdrawal of the $59.9 million aid, which was part of a larger transport initiative, has forced the Kenyan government to reassess the project’s viability and timeline. The National Treasury’s reports indicate that the Nairobi Metropolitan Area transport initiatives, which were set to be funded through the Kenya Millennium Development Fund (KMDF), have stalled due to this change in U.S. foreign aid policy. The U.S. was scheduled to contribute a substantial KSh 5.8 billion, with Kenya providing KSh 1.56 billion.
Nairobi, a bustling commercial hub, frequently grapples with crippling traffic congestion that costs the economy billions annually in lost productivity. The promise of a “smart mobility” solution offered a lifeline to millions of commuters. The cancellation now casts a long shadow over the city’s immediate capacity to implement large-scale, digitally-driven solutions to this pervasive problem.
The freeze on U.S. foreign assistance, which began with an executive order in early 2025 to pause aid for a 90-day review of alignment with U.S. values, has had sweeping consequences across various sectors in Kenya, including global health programs. The halt on the smart mobility funding appears to be another casualty of this broader policy shift.
The Kenyan government is now faced with the challenging task of either securing alternative financing from other international partners or allocating significant domestic resources to salvage the essential GIS platform and other stalled transport projects. Without this critical data and intelligence system, the prospect of easing the city’s congestion in the near future remains bleak.
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