The Latest

Tanzania Get USD 1.6 Bn Loan for SGR Railway Project

February 18, 2020
1 minute read
Dar Es Salaam - Morogoro Standard Gauge Railway

The Ministry of Finance of Tanzania has obtained a term loan of USD 1.46 billion to fund the construction of the Standard Gauge Railway (SGR) project from Dar es Salaam to Makutupora in central Tanzania.

Standard Chartered Bank Tanzania acted as a global coordinator of the loan while the biggest component of financing comes from the Export Credit Agencies of Denmark and Sweden.

The 550km long railway section is part of the overall SGR project that will stretch for 1,219 km, connecting Dar es Salaam to Mwanza on Lake Victoria for an overall budget of USD 7.5 billion, providing a safe and reliable means for efficiently transporting people and cargo to and from the existing Dar es Salaam Port.

It will also connect Tanzania to Burundi, Rwanda and The Democratic Republic of Congo (DRC), thereby playing a key role in enhancing regional trade.

The SGR, currently under construction, is intended to replace the old, inefficient meter-gauge railway system. The foundation stone for the construction of the first section of the SGR connecting Dar es Salaam to Morogoro was set in April 2017.

Tanzania Rail Transport

Railway transport is the second most important mode of transport after road and critical for long-distance freight along the main transport corridors in Tanzania.

The Tanzanian rail network comprised two main railways: the Tanzania Railways Corporation (TRC) network of 2,600 km and the Tanzania-Zambia Railway Authority (TAZARA) of 1,067 km, connecting Dar es Salaam with Kapiri Mposhi in Zambia.

Want to know more about Transport in Tanzania? Our free Tanzania Business and Investment Guide 2026 covers Transport, plus regulations, key sectors, and investment opportunities—all in one place.

Download Free Guide
Tweet
Share
Share
Share
Related Posts
Tanzania Dodoma Msalato International Airport Inspection Khamis Omar
Read More

Dodoma Msalato International Airport Set to Begin Operations in September 2026

Msalato International Airport in Dodoma is scheduled to begin operations in September 2026 as construction advances toward completion. The airport will have the capacity to handle 1.5 million passengers annually and is expected to strengthen domestic and international air connectivity while supporting investment and economic activity in Tanzania's capital.
Tanzania Transport Budget Bunge Parliament Makame Mbarawa
Read More

Tanzania Transport Budget 2026/2027 of TZS 2.87 Trillion Positions Tanzania as a Regional Logistics Hub, with TZS 1.51 Trillion for SGR

Tanzania's TZS 2.87 trillion Transport Budget 2026/27 directs 95.62% to development across rail, aviation, ports, and maritime infrastructure to position the country as the regional logistics hub of Eastern, Central, and Southern Africa. The Standard Gauge Railway (SGR) alone receives TZS 1.51 trillion in domestic financing plus TZS 61.84 billion from the OPEC Fund, equivalent to 55% of the entire development envelope.
Tanzania ASSESSMENT OF ECONOMIC IMPACTS ON TANZANIA ARISING FROM THE GULF CRISIS
Read More

Tanzania Gulf Crisis Report Rates Energy, Food, Transport, Tourism and Budget at High Risk

A May 2026 rapid assessment by Tanzania's National Planning Commission and UNDP rates energy, food, transport, tourism and the Government budget at high risk from the Gulf crisis, which raised Dar es Salaam fuel prices by up to 69% between January and May 2026. The report flags a possible TZS 153.7 billion monthly customs revenue shortfall and fuel subsidy needs rising to TZS 1,384.2 billion by July, alongside buffers including a 124% food self-sufficiency ratio, USD 6.3 billion in reserves and 57 trillion cubic feet of gas.
Tanzania Kenya Rwanda
Read More

Tanzania Hosts Rwanda and Kenya Presidents, Signs MoUs on Tanga-Taveta SGR, Dar-Mombasa Gas Pipeline, and Scraps Non-Tariff Barriers

Tanzania hosted Rwandan President Paul Kagame on 3 May 2026 and Kenyan President William Ruto on 4-5 May 2026, signing eight MoUs with Kenya covering railways and a Dar es Salaam-Mombasa gas pipeline study, and agreeing to eliminate all non-tariff barriers by May 2026. Bilateral trade with Rwanda reached TZS 644 billion in 2025, while Tanzania-Kenya trade stood at over USD 720 million in 2024.

Want to know more about investing in Tanzania? Our free Tanzania Business and Investment Guide 2026 covers key sectors, regulations, and investment opportunities—all in one place.

Download Free Guide