Phase II of EAC railway to be AfDB funded
18 January 2010
The African Development Bank (AfDB) has committed to giving $8.15 million (£5 million) to the East African Community's railway project.
In supporting the second phase of the programme, the investment will facilitate the feasibility study for the Dar es Salaam-Isaka-Kigali-Keza-Musongati Railway, which will connect Tanzania, Burundi and Rwanda, the East African reported.
Building on the first paper, which was also co-financed by the AfDB, this phase will focus on the institutional framework and on structuring the project as a public private partnership.
The socioeconomic benefits of the line will also be outlined, as well as it its effects on the region's industries and populations.
Due to be completed in 2014, the development will reduce the time it takes goods to travel from Dar es Salaam to Rwanda and Burundi from three weeks to one day.
Last week an estimate for the total cost of the network was revealed in East African Business Week to be $900 billion.
The money will be drawn from development partners and regional banks.