The Nyayo car project was initiated by former President Daniel Moi. He had gained inspiration from Malaysia's Proton who built their first car, The Saga, in July 1985. The government had planned to manufacture Kenyan cars which was set to begin in the year 1986. The University of Nairobi led by Prof. Gichaga (a civil engineer) made several prototypes which were well known as ‘Nyayo Pioneer Cars’ as requested by President Moi. 

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Nyayo Motors Corporation was founded to engage in production of locally owned motor vehicles. Since there were only Japanese and British cars in the market at the time, President Moi was upset and thought of manufacturing low-cost vehicles with a Kenyan origin without requesting for help from abroad. 

Nicholas Biwott, who was a powerful man in the cabinet then, was the man to oversee the whole project come into success. Along the way, the unexpected happened as Mr Biwott demanded that a pick-up should also be made for him in the process of manufacturing the motor cars, which were to be launched on the same day as the cars. Due to pressure and limited time, the pick-up designed would hardly drive for a kilometre and even stopped functioning on it's way to the launch. Mr Biwott was very angry for the unfunctional pickup and even terminated the whole project. The cars were well functioning though.

Nyayo Motor Corporation could not fulfil vehicle production due to insufficient funds and no foreign investors would touch the project. It ended up collapsing.

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