Kenya’s ambitious Thwake Dam project has entered a new development phase after securing Ksh10.6 billion ($82 million) in additional financing, marking a major step toward strengthening water security, agricultural production and renewable energy capacity in the country.

The funding approval by the African Development Bank Group will allow Kenya’s government to begin construction of the dam’s second phase by April next year, according to President William Ruto.

The latest financing package forms part of a broader effort to complete the flagship infrastructure project, which sits at the centre of Kenya’s long-term development strategy under Vision 2030.

Major investment in water, agriculture and clean energy

The additional financing includes a Ksh9.49 billion ($73.4 million) loan from the African Development Bank, Ksh620.68 million ($4.8 million) from the African Development Fund and €15 million ($17 million) in counterpart funding from the Kenyan government.

The first phase of the project received approval in 2013 through a $96.22 million financing package from the African Development Fund.

Once completed, the Thwake Multipurpose Water Development Program is expected to become one of Kenya’s most important infrastructure assets, supplying up to 150,000 cubic metres of clean water daily to about 1.3 million people.

The project will also support irrigation across 40,000 hectares of farmland and generate 20 megawatts of renewable hydropower, helping Kenya address food security challenges while expanding clean energy access.

Thwake Dam strengthens Kenya’s economic resilience

Speaking in Kitui County, President Ruto said the new funding would accelerate construction and deliver critical economic benefits to communities in Kenya’s lower eastern region.

“We have now secured Ksh10.6 billion ($82 million) to start the construction of the second phase of the Thwake Dam,” Ruto said, adding that the government expects commissioning activities to begin in April.

The Thwake Multipurpose Water Development Program, located along the border of Kitui and Makueni counties, is currently about 90% complete and represents one of Kenya’s largest public infrastructure investments.

Beyond water supply, the project is expected to improve agricultural productivity, support climate adaptation and create new opportunities for economic growth in eastern Kenya.

As African countries increase investment in resilient infrastructure, projects such as Thwake Dam highlight the growing role of large-scale water and renewable energy developments in driving sustainable economic transformation across the continent.