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Tanzania Signs USD 900 Million Contract to Build 4th Phase of SGR Railway

July 5, 2022
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Yapı Merkezi and Tanzania Railways Corporation signing the construction agreement for the 4th phase of Standard Gauge Railway (SGR) connecting Tabora and Isaka.

On 4th July 2022, the President of Tanzania Hon. Samia Suluhu Hassan witnessed the signing of the agreement for the construction of the fourth phase of the Standard Gauge Railway (SGR) connecting Tabora and Isaka.

The agreement was signed between the Tanzania Railways Corporation (TRC) and Yapi Merkezi of Turkey.

TRC also signed an agreement with Korail of Korea to provide technical expertise and training to TRC employees once the SGR railway is completed and handed over to TRC.

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The Tabora-Isaka section covers 165 km of which 130 km of main railway and 35 km of intersections. 

The value of the construction contract is USD 900.1 million and the implementation period is 42 months plus a trial period of 6 months.

Commenting on the signing event, President Samia reminded that the new railway will connect nine regions of Dar es Salaam, Coastal, Morogoro, Dodoma, Singida, Tabora, Simiyu, and Mwanza but will also connect neighboring Uganda, Burundi, Rwanda, DRC, South Sudan, and other African countries.

For his part, the Director General of TRC Masanja Kungu Kadogosa disclosed that the investment value of the construction of the SGR railway has reached TZS 16 trillion.

Tanzania SGR Railway

The government of Tanzania is currently expanding the country’s rail network with the construction of a Standard Gauge Railway (SGR) to replace the old, inefficient meter-gauge railway system.

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The SGR will link Tanzania from the port of Dar es Salaam on the Indian Ocean to the port city of Mwanza on the shore of Lake Victoria in northern Tanzania, and from there to neighboring countries.

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