Tanzania & Beijing Sign Central Railway Construction Deal
By Hilda Mhagama
Construction of a 2,190-kilometre central railway line to standard gauge has begun after the government signed a Memorandum of Understanding (MoU) with Exim Bank of China in Dar es Salaam yesterday.
The agreement involves forming technical teams from both sides to oversee various issues regarding the whole construction process and other administration matters. The Permanent Secretary (PS) in the Ministry of Finance, Dr Servacius Likwelile, said a feasibility study for the project will soon commence.
"In this agreement, we have analysed the best way to disburse funds for the construction process. Tanzania government has set aside 1tri/- from the current budget for that purpose," he noted. It is expected that the line will link the country to landlocked neighbours Burundi, Rwanda and Uganda.