P-ZW-D00-002

Project Details
ID: P-ZW-D00-002 Name: RAILWAYS PROJECT I Status: Completed Country: Zimbabwe
Sector: Transport Approval date: 31-aoû-1993 Task Manager: -, RDGS4
Total cost: 46380000
Currency: UAC
Source(s) of financing
ADF: 9210000
AfDB: 32500000
Government: 4670000
Implementing Agency: NATIONAL RAILWAYS OF ZIMBABWE

Objectives

The project aims to help reduce the economic cost of rail transport and stem the costly diversion of traffic from rail to road. Thus, the project will support the asset restructuring of NRZ necessary to enable it to increase the utilization of its existing capacity, in order to cater effectively to the prospective demand for rail transport.

Description

The project consist of the following components: (a) replacement of Centralised Traffic Control (CTC) equipment and a new telecommunications carrier on the Mutare-Harare line; (b) procurement of 56 passenger coaches; (c) procurement of 311 portable radios for train crew communications.

Benefits

The main benefit of the proposed project will be reduced cost of rail transport and it will benefit the whole economy.

Rational

The Bank Group's previous intervention in the Transport Sector in Zimbabwe was related to roads only and considering the importance of the railways sub-sector both as a transport mode and as main player in the economy, a Bank Group loan to the railways sub-sector was considered timely.