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Kisumu Governor Jack Ranguma has said that lack of space along the Lake Victoria basin has hampered the start-up of constructing ferries to develop lake transport.

Ranguma on Tuesday said that investors are ready to commence the works but lack of space is still a concern, adding that Rift Valley Railways (RVR) and Kenya Ports Authority (KPA) have the right of the Kisumu Port and they have not yet allowed for the commencement of the project.

"Rift Valley Railways and Kenya Ports Authority have not allowed us to operate along the port. We will try find a way of coming to an agreement with the two institutions for us to begin the project to improve the lives of our people. We are optimistic that space will be secured for this project," said Ranguma.

Addressing reporters on Tuesday in his office after his two-week tour of Asian countries, the governor said that investors had agreed to train some of the youth in Kisumu to be able to assemble ferries.

He said negotiations are on course with the two entities managing the port of Kisumu to allow for the project to begin.

Ranguma announced that the national government has committed some funds to Kenya Ports Authority for the project to start up.

In 2013, the governor negotiated a Sh400 billion Lake Victoria project for the development of lake transport.

The Lake Victoria Ferry project was to be undertaken by the International Maritime, comprising a team of investors from Canada, Australia and USA.

Ranguma said lake transport has remained underdeveloped in the region, adding that it is high time the county did something to develop the sector.