The Tanzanian government has secured funding for the construction of a Standard Gauge Railway segment linking Tanzania to Burundi. International financial institutions, including Standard Chartered and AfDB, are supporting this initiative, which forms part of a broader infrastructure project aimed at enhancing regional connectivity.
The Tanzanian government has successfully secured financing for a segment of the Standard Gauge Railway (SGR) project, which will connect the nation to Burundi. This funding follows discussions with three international financial institutions, namely Standard Chartered, the China Export and Credit Insurance Corporation (Sinosure), and the African Development Bank (AfDB). Construction is set to commence soon, targeting the railway alignment from Uvinza in Kigoma, Tanzania, to Musongati, Burundi. The Tanzania Railways Corporation (TRC) is managing this extensive SGR project, which spans a total of 2,561 kilometers from the Indian Ocean port of Dar es Salaam to Mwanza on Lake Victoria, with extensions planned for several neighboring countries. Notably, the route between Dar es Salaam and Dodoma is already operational, while various other sections are currently underway. Acting TRC Director General Mateshi Tito reported that the section to Musongati has received the green light for financing, although he withheld specific amounts. Additionally, he provided updates on the construction progress of multiple segments, revealing that the Makutupora-Tabora lot is at 14.53 percent completion, and the Isaka-Mwanza section has advanced to 60.62 percent. Committees are also engaging with potential investors interested in acquiring SGR locomotives and developing future projects like the Mtwara-Mbamba Bay SGR. TRC has noted substantial financial activity, with $10 billion already allocated to the SGR project, forecasting a significant increase in revenue from freight services set to commence in February. Deputy Minister for Transport David Kihenzile emphasized the government’s commitment to executing the SGR project efficiently, reflecting optimism for the anticipated returns on this substantial investment.
The Standard Gauge Railway project in Tanzania is a pivotal infrastructure initiative aimed at enhancing connectivity between Tanzania and its neighbors, thereby facilitating trade and economic growth. The project is part of a broader strategy to modernize the country’s rail system, which is critical for both passenger and freight transportation. By securing financing for the section linking to Burundi, Tanzania invests in strengthening regional ties and expanding its logistical capabilities. The overall SGR project is designed to connect various key locations within and beyond Tanzania, supporting regional integration and economic development.
In conclusion, the Tanzanian government has made significant strides in securing financing for the SGR project that will connect Tanzania to Burundi. With backing from international financial institutions and ongoing construction efforts, the initiative promises to bolster trade and economic growth within the region. The commitment to completing the railway underscores the government’s recognition of the SGR’s potential to enhance transportation efficiency and revenue generation in the coming years.
Original Source: www.thecitizen.co.tz
