Kenyan and Ugandan Leaders Herald New Era of Cooperation with Major Infrastructure and Industrial Projects

TORORO, Uganda – In a strong display of regional unity, Presidents William Ruto of Kenya and Yoweri Museveni of Uganda jointly broke ground on a monumental $500 million steel plant, while simultaneously advancing a landmark proposal for the shared ownership of a key regional asset, the Kenya Pipeline Company (KPC).
The dual announcements, made on Tuesday, signal a significant deepening of economic integration between the two East African nations, actively countering recent perceptions of diplomatic friction.
Dispelling Tensions, Emphasizing Brotherhood
President Ruto directly addressed recent media reports that highlighted President Museveni’s past comments on Africa’s “irrational” borders and the strategic need for landlocked countries like Uganda to secure sea access—remarks some interpreted as a potential source of tension.
“I know that people in the journalist space… tried to create an impression that Uganda had said something to the effect that they need to access the sea by all means,” President Ruto stated at the ceremony in Osukuru, Tororo. “Let me assure the naysayers that Uganda and Kenya are brothers and sisters and we do not have time for negative engagements.”
This assurance underscores a mutual commitment to collaboration over conflict.
A Shared Strategic Asset: The Kenya Pipeline
A cornerstone of this enhanced cooperation is the invitation for Uganda to invest in the Kenya Pipeline Company. The Kenyan government plans to divest up to 65% of KPC through a public offering on the Nairobi Securities Exchange by March 2026, retaining a 35% stake.
President Ruto has urged both public and private entities in Uganda and Kenya to purchase shares, framing the pipeline as a critical regional asset rather than a solely Kenyan one. The KPC currently manages the storage and transportation of petroleum products not only for Kenya but also for Uganda, Rwanda, and other neighbouring countries.
This move is designed to bolster broader regional projects, including pipeline extensions towards the Democratic Republic of Congo and Rwanda. While the plan has sparked domestic debate in Kenya, with some citizens questioning the sale of a taxpayer-funded asset and raising national security concerns, supporters argue it will lock in investment and secure long-term fuel transit cooperation.
Groundbreaking for a Industrial Giant
The leaders also presided over the groundbreaking for the Devki Mega Steel Plant, a 400-acre facility in Osukuru that promises to be a game-changer for East Africa’s industrial landscape. The plant will utilize local Ugandan iron ore to produce steel, drastically reducing the region’s reliance on imports and creating over 15,000 direct jobs.
President Museveni hailed the project as a decisive break from Africa’s historical pattern of exporting raw materials without creating local employment or value addition.
In a gesture of support, President Ruto pledged reliable port access for Uganda through Mombasa, reinforcing Kenya’s role as a vital trade gateway for its neighbour.
The event highlighted a suite of collaborative ventures, including a planned railway extension to Kampala, set for 2026, painting a picture of a region steadily building its interconnected future.

