Finance and Planning Minister, Philipo Mpango, told parliament that Tanzania cannot afford to finance the project using its own funds. He explained that studies by the World Economic Forum (WEF) and African Development Bank (ADB) had found the central corridor “the most commercially viable”, thus the government was doing all it could to implement this. The WEF and ADB are working closely with Tanzania, he said, to raise the required funds, but it seems the project will only be viable through a Public Private Partnership (PPP). The Minister said there are Chinese and American companies showing interest in investing in the project.
In May 2015, Tanzanian transport minister Samwel Sitta informed parliament in Dodoma that a Chinese consortium led by China Railway Materials had been awarded a USD 7.6 billion contract to build a 2,561km standard gauge railway from Dar es Salaam to Burundi and Rwanda. Former president Jakaya Kikwete was to launch construction on 15 September 2015. However, according to Finance and Planning Minister, the contract was revoked because the Public Procurement Regulatory Authority (PPRA) found flaws in the tendering.
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