Tanzania signed a deal worth $1.215 billion with a consortium of Turkish and Portuguese companies on Friday to construct a 300-kilometre railway line, part of plans by the east African country to boost trade with its land-locked neighbours.
In total, Tanzania wants to build a 2,561 km standard gauge railway network connecting its main Indian Ocean port of Dar es Salaam to eastern and southern Africa’s hinterland.
The port’s vast hinterland loops in eastern Democratic Republic of the Congo, Zambia, Rwanda, Burundi and Uganda.
In a statement, state-run railway firm, Reli Assets Holding Company Ltd (RAHCO), said it had signed an agreement with a joint venture of Turkish firm Yapi Merkezi and Portugal’s Mota-Engil Engenharia e Construção África, S.A.
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The firm said construction of the railway line would start next month and take 30 months to be completed.
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