Tazara will receive a $1.4 billion investment from CCECC to improve railway operations, with $1 billion for track rehabilitation and $400 million for new locomotives and wagons. This investment aims to enhance safety, efficiency, and regional connectivity under a 30-year concession agreement. The initiative is expected to boost trade between Tanzania and Zambia.
The Tanzania-Zambia Railway Authority (Tazara) is poised to receive a significant $1.4 billion investment from the China Civil Engineering Construction Corporation (CCECC), aimed at revitalizing its operations. Mr. Bruno Ching’andu, Tazara’s managing director and CEO, announced this development at the Zambia International Mining and Energy Conference (ZIMEC 2025) held in Kitwe, Zambia.
This investment includes a $1 billion allocation for comprehensive rehabilitation of railway tracks, which is set to enhance safety, efficiency, and operational capacity. Additionally, $400 million will be invested in acquiring 32 locomotives and 762 wagons, bolstering both freight and passenger transport services across the region.
As discussions continue, the projected agreement is to be established under a 30-year concession, representing a transformative phase for Tazara. “This concession will mark the beginning of a new era for Tazara,” noted Mr. Ching’andu, emphasizing its potential role in enhancing trade and economic growth between Tanzania and Zambia.
The CCECC investment will address existing operational challenges faced by Tazara and facilitate the railway’s sustainability. The 30-year agreement will prompt initial construction and rehabilitation work over three years, followed by comprehensive operational management for the remaining years.
Furthermore, CCECC will undertake the immediate rehabilitation and supply of new rolling stock while covering operational costs through concession fees. This collaborative effort is expected to significantly increase the annual tonnage capacity from the current average of 500,000 metric tonnes to about two million metric tonnes, enhancing regional connectivity and reducing transportation costs.
Originally built between 1970 and 1975 with Chinese financing, the 1,860-kilometre Tazara railway connects Zambia’s Kapiri Mposhi to Dar es Salaam Port. It was essential in mitigating Zambia’s reliance on transport routes dominated by neighboring white-minority-ruled nations, ensuring a direct shipping route for Zambia’s vital exports.
The Tazara railway is set to undergo significant upgrades through a $1.4 billion investment by CCECC, improving safety and efficiency in regional transport. The partnership aims to increase capacity, enhance trade, and ensure the railway’s sustainable operations under a long-term concession agreement. This initiative is expected to significantly benefit economic connections between Tanzania and Zambia, promoting growth in regional trade and connectivity.
Original Source: www.thecitizen.co.tz
