The Government of Uganda and Turkish company Yapı Merkezi signed a contract for the construction of Malaba – Kampala standard gauge railway (SGR) which will ensure rail connection with Kenya.
The USD 3 billion project covers the construction of a 273 km rail line and is one of the largest projects ever signed by Turkish contractors abroad.
The contract for the construction of the Eastern Railway Route was ceremonially signed by the Uganda’s Minister of Work and Transport, Katumba Wamala, and the Vice Chairman of Yapı Merkezi, Erdem Arıoğlu, on October 14th.
“We are proud to collaborate with Yapı Merkezi, which has undertaken numerous railway construction projects in Africa and now follows this project will connect Uganda and Kenya, enhancing regional trade and economic integration. The project is an important initiative in Uganda’s transport history,” the minister said at the signing ceremony.
The Malaba – Kampala Eastern rail route project covers the design, construction, and procurement of rail vehicles for a standard gauge railway that will be fully electrified according to European and American standards. The line is designed to allow trains to run at a speed of 120 km/h and includes 2 major stations, 4 medium stations, 1 marshaling yard, and 3 freight terminals.
“We are very proud to undertake the Eastern Route Railway Project, one of the largest projects signed by Turkish contractors abroad, which will connect Uganda to Kenya. By leveraging our extensive expertise in railway engineering, we have achieved success by providing the most suitable engineering solutions for this important project. We are very happy to successfully represent our country abroad,” Yapı Merkezi Vice Chairman said.
The line will have a capacity to transport 25 million tonnes per year.
For the Eastern standard gauge railway, a China-based company signed a construction contract in 2015, but the Ugandan government cancelled the contract because the company failed to fulfill its project financing obligations. Subsequently, Yapı Merkezi signed a Memorandum of Understanding with the Government of Uganda in November 2022 and in July 2023 has submitted to the Ministry of Transport its construction financing proposal for Malaba – Kampala SGR. The proposal negotiations were completed by June 2024 and a letter of award was issued in September 2024.
Malaba – Kampala standard gauge railway is the Eastern Route of the 1700 km SGR network Uganda which also includes Tororo – Amuru – Packwach as the northern section and is of a strategic importance for the country as well as for East Africa.
With the completion of the Naivasha – Malaba railway in Kenya, the line extending from Uganda’s capital, Kampala, to Kenya will connect the country to the Port of Mombasa, which opens to the Indian Ocean. Additionally, the Kampala – Kasese (Western Route) project, for which Yapı Merkezi has signed a Memorandum of Understanding, will provide the Democratic Republic of the Congo with rail access to the Port of Mombasa. Expected to begin construction this year, this project is of significant commercial importance as it could reduce high transportation costs in a landlocked country. Recently African countries signed an agreement to explore the options and financial resources for the construction of a standard gauge rail network in East Africa.
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