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Liberia inks New Executive Order for rail sector

Liberia inks New Executive Order for rail sector

Liberia’s President Joseph Nyuma Boakai has signed Executive Order No. 136, establishing the National Railway Authority (NRA). This marks a bold step

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Liberia’s President Joseph Nyuma Boakai has signed Executive Order No. 136, establishing the National Railway Authority (NRA). This marks a bold step toward rebuilding Liberia’s rail system, transforming it into an inclusive, regulated, and safety-conscious network that could drive long-term economic growth and development.

This move revitalizes expired provisions from Executive Order No. 112 and reasserts government control over national rail assets, a crucial step in addressing the challenges facing the sector, particularly in safety, access, and management.

Multi-user rail regime

Executive Order No. 136 will see the adoption of a multi-user rail regime. Previously, rail access in Liberia was monopolized by a few corporations, primarily within the mining sector. This order promotes a system where the national rail network can be accessed by multiple industries and businesses, fostering competition and reducing monopolistic practices. By doing so, it is expected to attract greater investment, especially in mining and logistics, and create a more equitable, transparent system.

The NRA is tasked with managing all “above-rail” (operations and services) and “below-rail” (infrastructure) assets. Its responsibilities include ensuring safety, overseeing the maintenance and development of rail lines, and coordinating fair access for all eligible users. This mandate is particularly vital given the safety issues surrounding the current rail system, where a lack of oversight has led to accidents and fatalities. The NRA will enforce strict safety standards in line with international best practices.

A sustainable funding mechanism for the NRA has been established, where rail users will be charged fees to finance the authority’s operations. Additionally, the NRA is responsible for drafting a National Rail Authority Act to formalize its role. Disputes regarding the order will be arbitrated under the Liberian Chamber of Commerce, ensuring fairness in the resolution of conflicts.

The NRA is positioned to not only improve the safety and efficiency of Liberia’s rail network but also to stimulate economic growth. By opening the rail system to broader use, particularly for small businesses and rural producers, the infrastructure will play a critical role in reducing transportation costs and improving access to markets. In doing so, this initiative aligns with the government’s broader agenda to modernize Liberia’s infrastructure and attract foreign investment.