The cranes are moving again. Kenya’s construction sector recorded a massive growth spurt in the third quarter of 2025, expanding by 300% as the government finally released funds to clear pending bills for stalled road projects.

The Kenya National Bureau of Statistics (KNBS) data shows the sector grew by 4.5%, up from a meager 1.1% in the previous year. The resurgence is driven by the resumption of work on key arteries like the Mau Mau Road and the Kenol-Sagana expansion.

The "Pending Bills" Stimulus

Contractors who had abandoned sites due to non-payment have returned. "We received KES 15 billion last month," confirmed a representative of the Roads & Civil Engineering Contractors Association. "That money has gone straight into buying cement, steel, and paying workers."

• Cement Consumption: A key indicator, cement consumption, rose to 2.3 million tonnes. This demand is also fueled by the Affordable Housing Program, which is now in full swing in 20 counties.
• Job Creation: The sector is the country's largest casual employer. The restart of projects means thousands of "mjengo" jobs for youth, injecting liquidity into the village economy.
• Caution: However, economists warn that this growth is fragile. It relies heavily on government spending. With the Treasury struggling with debt service, another cash crunch could halt the mixers just as quickly as they started.

Building Back Better?

For now, the dust rising from construction sites is a sign of economic life. But sustainable growth requires private sector activity, which remains dampened by high interest rates.