Tanzania and Burundi have signed a $2.15 billion agreement with Chinese firms to build a railway for transporting nickel and other metals. The project aims to facilitate trade to the port city of Dar es Salaam and is being developed by China Railway Engineering Group and China Railway Engineering Design and Consulting Group.
Tanzania and Burundi have formalized an agreement with two Chinese firms aimed at constructing a railway intended for transporting metals, particularly nickel, to Dar es Salaam. This significant $2.15 billion joint venture will be executed by the China Railway Engineering Group alongside the China Railway Engineering Design and Consulting Group. Transport Minister Makame Mbarawa announced the agreement during the signing ceremony that took place on Wednesday.
The agreement between Tanzania, Burundi, and the Chinese companies marks a pivotal step in enhancing transportation infrastructure in East Africa. The railway is expected to facilitate the movement of essential minerals, particularly nickel used in battery production, which is in high demand in global markets. This development aligns with broader efforts to improve trade connectivity in the region.
In conclusion, the railway project between Tanzania and Burundi signifies a major investment in East African infrastructure development. The collaboration with Chinese companies not only supports local economies but also enhances mineral transport capabilities, particularly for nickel. This initiative is expected to foster economic growth and strengthen regional trade ties.
Original Source: asia.nikkei.com
