Japan is planning to increase involvement in infrastructure projects in Africa as it looks to strengthen its presence in what the government in Tokyo considers to be one of the world’s last major growth markets.
A plan with funding for 60 major infrastructure projects, including strategic port and linking transport infrastructure investments has been prepared.
Japanese investments in Africa have so far centered largely on three areas – Kenya’s port of Mombasa and hinterland, Nicala port in Mozambique and Cote d’Ivoire.
Mombasa has been the primary investment to date, with Japan committing USD 500 million for the future development of the port, close to half of which is already allocated as a loan for development of its second phase.
“The emphasis is put on infrastructure development, which promotes logistics with neighboring landlocked nations, considering the importance of Kenya as a hub for logistics in Africa. Japan will assist not only hard infrastructure development but also technical aspects such as support for smooth customs clearance and the entire maintenance and management of developed infrastructure,” said the Japan International Cooperation Agency, the agency that coordinates overseas development assistance for the government of Japan.
Together with a new container terminal, the Mombasa project includes development of hinterland roads, weighbridges and capacity building for customs clearance processes. The new access road to the terminal will have a capacity of 750,000 twenty-foot-equivalent units per year. A railway station with four rail mounted gantry cranes will also be constructed.
Japan’s second major African port project is at Nacala in northern Mozambique, the deepest port in southern Africa, where it is investing USD 255 million in the port’s second phase. Expected to be complete by the start of 2018, the project will expand the capacity of the port to over 250,000 TEUs and 5 million tons of cargo per year by 2020.
Share on:
