US- based infrastructure and development company, Railnet International, has signed an agreement with Zambia, Zimbabwe and Mozambique, to invest roughly $11 billion (KSh 1.1 trillion) in building a modern railway line and a high speed train linking the three countries.
According to Misheck Lungu, Zambia’s Transport and Communication Permanent Secretary, the $11 billion incorporates both the cost of locomotives and wagons, with the funding set to be received from an undisclosed group of investors.
With feasibility studies set to start in Zambia, construction of the new railway, parallel to the existing one, will begin in January 2021.
Once complete, cargo trains will be able to travel at 120 km/hour and passenger trains at 160 km/hour. Thereafter, Railnet will operate the railway for a number of years and then hand it over to the governments after recovering its investment from the profit made.
With the new development in transport, the three countries stand to benefit in terms of:
- De-congestion of roads
- Promotion of economic integration
- Increased trading opportunities among the three countries
- Creation of jobs
- Attraction of foreign investors, riding on the ease of navigation from one country to another
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