Govt allays public fears over TAZARA revival deal

DODOMA: THE government has assured Tanzanians that the agreement signed by Tanzania and Zambia with China to rehabilitate the Tanzania–Zambia Railway Authority (TAZARA) will deliver far-reaching economic and social benefits to both countries.

The assurance was given yesterday by the Permanent Secretary in the Ministry of Information, Culture, Arts and Sports and Chief Government Spokesperson, Mr Gerson Msigwa, following the circulation of misinformation and disparaging remarks on social media after the three parties signed a 3.45tri/- agreement to revive the historic railway.

Mr Msigwa said the deal aims to restore TAZARA’s efficiency and sustainability after years of operational challenges that have forced the governments of Tanzania and Zambia to subsidise its operations using public funds.

The TAZARA railway, constructed between 1970 and 1975 through an interest-free loan from China and officially handed over to Tanzania and Zambia in 1976, has for many years suffered from dilapidated infrastructure, outdated rolling stock and declining operational capacity.

In a statement released by the Information Services Department (MAELEZO), Mr Msigwa explained that these challenges rendered the railway financially unsustainable, prompting the two governments to seek a long-term solution.

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Under the new agreement, China Civil Engineering Construction Corporation (CCECC) will invest 1.4 billion US dollars (over 3.45tri/-) to rehabilitate railway infrastructure, construct stations, procure modern passenger trains and build a major Kidatu Transshipment Joint Facility.

The facility will enable cargo from the Central Railway Line, which operates on the Standard Gauge Railway (SGR), to be transferred efficiently to the TAZARA line, which runs on the Cape Gauge.

Mr Msigwa said CCECC will undertake rehabilitation works over a three-year period and subsequently operate the railway for 30 years. During the concession period, the company will remit 30 million US dollars (about 75bn/-) annually to the government.

“This arrangement compares favourably with the current situation, where the Government of Tanzania alone contributes more than 28bn/- every year to support TAZARA’s operations,” he said.

Following the investment, TAZARA is expected to significantly stimulate economic activities in Tanzania and Zambia by improving access to a Cape Gauge railway network spanning more than 50,000 kilometres across Africa. Tanzania, in particular, is expected to benefit from improved transportation of minerals, including rare earth elements such as cobalt, granite, coal and iron, as well as agricultural produce from various regions.

Mr Msigwa urged Tanzanians to disregard critics who downplay the significance of the agreement, noting that the investment resulted from highlevel discussions between President Dr Samia Suluhu Hassan and Chinese President Xi Jinping.

He added that President Samia also raised the issue during her address to the Zambian Parliament, calling on Zambia to support the rehabilitation of the railway as a strategic regional infrastructure project.

Already, Chinese Premier Mr Li Qiang has officially launched the TAZARA rehabilitation project in Zambia, marking the start of its implementation.