Ruto bets big on industries to revive Coast economy
President William Ruto during the ODM Founders' dinner at Sarova Whitesands in Mombasa on November 15, 2025.
As plans enter the homestretch for the groundbreaking of the East African oil refinery in Lamu this week, the Sh11 billion Devki Group iron-ore processing plant in Manga, Taita-Taveta County, has been completed and is set for an official launch in November.
The developments have put into focus efforts by President William Ruto to attract multibillion-shilling investments in industries as a means of reviving the Coast economy, which has been heavily reliant on tourism for decades.
While announcing completion of the Devki plant on Saturday, President Ruto said he would visit the facility in November to officially open it. He was speaking in Taita Taveta County after returning from New York, where he had discussed plans for developing critical minerals extraction and processing with US Secretary of State Marco Rubio.
Kenyan President William Ruto meets with US Secretary of State Marco Rubio on the sidelines of the 81st United Nations General Assembly in New York City, US, September 21, 2026.
The US is among the foreign countries whose investors have set their eyes on Mrima Hill in Kwale. The area is estimated to have rare earth deposits worth $62.4 billion (Sh8 trillion) and niobium deposits worth $35 billion (Sh4.5 trillion).
“We used to get iron ore here and take it to India, but I said we need to stop exporting raw materials and directed the construction of a company which is now complete,” Dr Ruto said.
“Everything is set. I am just connecting electricity and then I will come for the launch,” he added.
The completion marks a major milestone for a project that is expected to increase value addition in the county’s mining sector. The facility, owned by Devki Group of Companies chaired by industrialist Narendra Raval, will process iron ore mined in Taita-Taveta into products for the steel industry.
The plant’s construction was officially commissioned by President Ruto in December 2024. At the time, Mr Raval said the facility would create 3,000 jobs once fully operational, with 80 per cent of the workforce expected to come from the local community.
The first consignment of iron ore from Kishushe Ranch was transported to the Manga facility earlier this year. The consignment marked the beginning of commercial haulage of the raw material to the processing plant, linking the mining area to the new industrial facility.
Taita-Taveta Governor Andrew Mwadime, who presided over the flag-off, described the development as an important step towards local value addition. The governor said mining activities in Kishushe were projected to generate about Sh540 million annually in county own-source revenue.
“Our push for value addition is aimed at ensuring that our people derive maximum benefits from the resources found within the county. Processing iron ore locally will create employment, attract investment and transform livelihoods,” he said.
The county government said the mining sector faced challenges over the years, including disputes over cadastral blocks, delayed lease agreements and concerns over investors’ corporate social responsibility obligations. Mr Mwadime said cooperation between the county government, national Government, ranch stakeholders and other parties had helped unlock the mining activities.
Meanwhile, the president said that the National Infrastructure Fund will be used to unlock Sh30 billion required for the Mzima Two water supply project.
The project has been in the pipeline since 2017, intended to increase water supply to Mombasa, Kilifi, Kwale and Taita-Taveta counties. It has, however, gone through several changes, including a cost review, the scrapping of the initial Sh35 billion plan and a shift towards a public-private partnership.
“I have plans, be patient and give me time. I know sometimes my opponents come here to use water challenges to attack me on my pledges on Mzima II, but I am the one who promised and I know how I will implement the project,” he said on September 26, when he kicked off his development tour of the Coast region.
“I have developed the National Infrastructure Fund because the project needs Sh30 billion. I will pay the water debt for this region. I know water is a major challenge here and we must resolve it. Mzima Phase One was done more than 40 years ago by the late retired President Daniel Moi, but Phase Two will be done by me,” he added.
His remarks followed criticism from opposition leaders over water shortages and other development commitments to the region. Recently, Wundanyi MP Danson Mwashako accused the Ruto administration of failing to deliver on some of its commitments to the region, especially water.
Water overflows from a damaged pipe at Kibarani area in Mombasa. The government plans to construct a second Sh35 billion pipeline from Mzima Springs in Taita Taveta County.
The Mzima pipeline was built in the 1950s and is now dilapidated and prone to frequent bursts, according to the Coast Water Works Development Agency board. The breakdowns have disrupted water supplies across the region.
The existing infrastructure delivers approximately 35 million litres of water per day, a level that is below the region’s growing demand. Population growth and rapid urban expansion have increased pressure on water services, leaving thousands of households vulnerable to shortages.
Mzima II was conceived as part of the response to this challenge, with its original design targeting an additional 105,000 cubic metres of water daily for Mombasa, Kilifi, Kwale and Taita-Taveta.
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