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US $2.2bn Contract awarded for Tanzania-Burundi Railway project

US $2.2bn Contract awarded for Tanzania-Burundi Railway project

A Chinese consortium, led by China Railway Group, has secured a $2.2 billion contract to build a standard gauge railway (SGR) connecting Tanzania and

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A Chinese consortium, led by China Railway Group, has secured a $2.2 billion contract to build a standard gauge railway (SGR) connecting Tanzania and Burundi.

The project aims to improve transportation links between Dar es Salaam Port and the nickel-rich Musongati region in Burundi, fostering increased trade and economic cooperation between the two nations. The agreement reflects the growing collaboration between China and East Africa in advancing critical infrastructure projects.

The railway construction includes two key sections. The first section will stretch 156 kilometers from Uvinza to Malagarasi in Tanzania, while the second section will cover 84 kilometers from Malagarasi to Musongati in Burundi. Upon completion, the railway will provide a reliable transport corridor for mining exports and commercial goods, enhancing regional trade efficiency. The entire railway network, extending from Dar es Salaam to Mwanza, will span 651 kilometers, reinforcing Tanzania’s position as a trade gateway.

Tanzania-Burundi Railway project

The project is expected to be completed within 72 months, with the Chinese consortium employing advanced engineering techniques to ensure high-quality construction. The initiative is poised to generate employment opportunities and support industrial growth in both countries. By facilitating quicker and more cost-effective transportation, the railway will strengthen regional supply chains and create new market opportunities for businesses.

This infrastructure investment aligns with Tanzania’s strategic goal of modernizing its transportation network and boosting industrialization. Burundi stands to benefit from improved access to international markets, particularly for its nickel exports. The railway is anticipated to reduce trade costs and enhance logistical efficiency, positioning Tanzania and Burundi as important players in East African trade and commerce.