China's stake in East Africa, and its wealth of natural resources, is assured. The government has signed off on a deal to build a $3.8-billion rail link between Kenya's Indian Ocean port of Mombasa and Nairobi, the first stage of a line that will eventually link Uganda, Rwanda, Burundi, and South Sudan. The government will cover 90 percent of the cost to replace the crumbling British colonial-era line with a 379-mile standard-gauge link; Kenya will be accountable for the remaining 10 percent. Construction is due to start in October 2014, and take 3.5 years to complete. This deal follows China Merchants Holding International's plans to begin construction of a new port in Bagamoyo, Tanzania by 2015-with financing assistance from China. The total buildout of the port, rail network, and logistics facilities could surpass $10 billion.
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