Bombardier to Invest in TAZARA

Bombadier TrainIn a Press Release from Tanzania-Zambia Railway, TAZARA & Bombardier Transportation agreed to sign MoU for future investment cooperation. Below is a statement released.

As one of the strategies for re positioning ourselves towards boosting our haulage capacity, on 6th September 2017 in Dar es Salaam, we signed a Memorandum of Understanding (MoU) with Bombardier Transportation to explore possibilities for investment cooperation.

With access to possible international funding options to support the revitalization of TAZARA, Bombardier Transportation has offered a preliminary turnkey solution for TAZARA to increase efficiency and capacity in the areas of track, rolling stock, signalling and telecommunications.

Following the signing of the MoU, we shall now create a joint team to undertake a feasibility study that will define and agree on the scope of the partnership, after which Bombardier Transportation will submit a full technical and financial proposal for our consideration.

TAZARA Managing Director, Eng. Bruno Ching’andu, welcomed the development:

“We are delighted to welcome Bombardier Transportation, an acclaimed global leader in rail and aircraft technology, as one of the key partners in our quest to attain medium to long-term aspirations that include investing in rolling stock and infrastructure.

On our part, we remain very open to all possibilities for introducing investments in rolling stock and infrastructure, which is essential for uplifting our capacity and instilling confidence in our customers,” said Eng. Ching’andu.

Bombardier Transportation Director for Sales and Business Development, Nazif Tasci, who signed the MoU on behalf of Bombardier, assured TAZARA that it was very possible to arrange a turnkey solution, including a very attractive funding arrangement via the Kingdom of Sweden.

“In the past, we have successfully closed transactions based on support from the European-based Export Credit Agencies, Export Development Canada, the Swedish Export Credits Guarantee Board, and the Swedish Export Credit Corporation to extend financing to our customers and we strongly believe this is also possible in the case of TAZARA,” said Mr. Tasci.

About Bombardier

Bombardier is the world’s renowned manufacturer of aircraft and trains, headquartered in Montréal, Canada, with shares traded on the Toronto Stock Exchange and also listed on the Dow Jones Sustainability World and North America indexes. With 60 production and engineering sites in 28 countries, Bombardier Transportation is a global leader in the rail industry, covering a wide-range of products including track equipment, locomotives, wagons, high-speed trains, telecommunications and rail control systems. In sub-saharan Africa, Bombadier has a presence in at least 5 countries.

About TAZARA

TAZARA is bi-national railway jointly owned by the Governments of the United Republic of Tanzania and the Republic of Zambia on a 50-50 shareholding basis. The 1,860km-railway connects landlocked Zambia to the seaport of Dar es Salaam in Tanzania and further provides road and railway inter-connectivity to other parts of Southern Africa. In essence, TAZARA provides a communication backbone for the three regional groupings of SADC, COMESA and the East African Community. For Central and Southern African hinterland importers and exporters with business ties to the Middle-East and Asian countries, including China, TAZARA provides the shortest route to the sea, through the Port of Dar es Salaam and is therefore a vital rail link in the logistics chain. Ends

 

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