The National Railways of Zimbabwe (NRZ) is making significant strides in its recapitalisation efforts, securing a substantial investment agreement with TransTech, a subsidiary of China Railway International Group (Crig).
This partnership, valued at over US$500 million, is set to enhance priority infrastructure and rolling stock projects.
TransTech is one of 11 companies collaborating with NRZ to refurbish and provide locomotives and diesel multiple units, construct a new railway line from Beitbridge to Harare, and boost mineral transportation. Additionally, NRZ is exploring a partnership with the University of Zimbabwe to develop railway solutions through the university’s innovation hub.
NRZ Public Relations and Stakeholder Manager Andrew Kunambura highlighted the importance of these agreements in an interview with Sunday Business. “We are partnering with TransTech, focusing on our capital priority projects, which include infrastructure and rolling stock, amounting to US$533 million,” Kunambura said.
“Infrastructure encompasses railway lines, while rolling stock refers to locomotives and wagons.”
Crig chairperson Chen Yun has been in Zimbabwe leading a delegation to discuss the investment proposal at both governmental and operational levels. The delegation has begun a feasibility study on the phased priority projects outlined in NRZ’s strategic turnaround plan, with the study expected to conclude by the end of the month.
In addition to TransTech, NRZ is in talks with China Railway No. 9 (CR9) for the construction of the Beitbridge-Harare line. A preliminary agreement was signed on May 10, 2024. This new line is anticipated to facilitate imports and exports with South Africa, Zimbabwe’s largest trading partner.
NRZ is also negotiating with General Rail, a South African company, for the provision of locomotives and wagons. “Our engineering team has visited South Africa and made recommendations for procuring these locomotives,” Kunambura noted.
Although Kunambura did not disclose all 11 partner companies, he mentioned a consultancy firm interested in developing fast rail services for both freight and passengers. Additionally, NRZ has partnered with Berhard Development Corporation, a logistics company, to improve mineral transportation, with an agreement signed on May 13, 2024.
These initiatives mark a significant step forward for NRZ, aiming to revitalize Zimbabwe’s rail network and improve its economic infrastructure.
