SGR ticket sales surpass Sh2bn in six months on higher fares

Passenger ticket sales on the Standard Gauge Railway (SGR) climbed past the Sh2 billion mark in the first six months of 2025, buoyed by a rebound in ridership and higher fares introduced last year.

Data shows that the Madaraka Express earned Sh2.068 billion between January and June, an 11.65 percent increase from Sh1.85 billion over the same period in 2024.

The gains came as 1.18 million passengers used the service, reversing a slowdown recorded last year following the sharp increase in fares on routes linking Nairobi and Mombasa.

Kenya Railways Corporation (KRC) raised fares effective January 2024, with first class tickets on the Nairobi–Mombasa route moving from Sh3,000 to Sh4,500, while economy class went up from Sh1,000 to Sh1,500.

KRC said the move was driven by rising fuel expenses across both express and inter-county services.

The hike sparked uproar among Kenyans and initially pushed more travellers back to the road. Passenger numbers in the first half of 2024 dropped by 9.6 percent to 1.12 million, down from 1.24 million in 2023.

The strong showing this year is expected to ease pressure on the exchequer, with KRC keen to reduce its reliance on Treasury bailouts for operational costs, including payments to Africa Star Railway Operation Company Limited, the Chinese operator managing the trains since 2017.

While the SGR continues to shoulder operational expenses, both passenger and cargo services have yet to generate enough revenue to offset the multi-billion shilling loans secured from China for construction of the line.

The recovery in passenger traffic comes at a time when the railway is scheduled for extension from Naivasha to Malaba, raising expectations of expanded connectivity and revenue.