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A Turkish company is building a railway in Uganda for $3 billion economy

manhattantribune.com by manhattantribune.com
14 October 2024
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A Turkish company is building a railway in Uganda for $3 billion economy
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The government of Uganda and the Turkish construction company Yapı Merkezi signed an agreement worth about $3 billion to implement the “Eastern Railway Line” project.

The railway that will be implemented within the framework of the project will link Uganda to Kenya and will be 273 kilometers long.

Erdem Arioglu, Vice Chairman of the Company’s Board of Directors, said: During the agreement signing ceremony in the capital, Kampala, the project is one of the largest projects undertaken by Turkish contractors abroad. He expressed his pride in having his company undertake this project, which will connect Uganda to Kenya.

He added, “We used our extensive knowledge in railway engineering to provide the optimal engineering solutions for this important project. We are happy to successfully represent our country abroad.”

For his part, Ugandan Minister of Transport Katumba Wamala stressed that the project represents an important step in the history of transport in Uganda, and will contribute to enhancing regional trade and economic integration.

He said, “We are proud to implement this project in cooperation with Yapi Markazi Company, which has implemented many railway projects in Africa.”

He added, “We are confident that the company will complete the project successfully and on time.”

Project financing

For his part, Uganda Standard Gauge Railway Project Coordinator, Perez Wamburu, said that the agreement relates to the first part of a planned 1,700 km electric railway line.

According to Ugandan officials, the country will use its own money and loans from export credit organizations to finance the project.

It is noteworthy that the project will start from the Ugandan capital, Kampala, and will link Uganda to the port of Mombasa overlooking the Indian Ocean in Kenya.

Construction work is scheduled to begin next November and will take 48 months.

Uganda concluded an agreement in 2015 with the China Ports and Engineering Corporation Limited to implement the project on the condition that the company helps secure the necessary funds for the railway from the Chinese government.

After years of fruitless talks, Uganda canceled the agreement last year and entered into talks with Yabei Markazi, which is implementing a similar project in Tanzania and Ethiopia.

Tags: billionbuildingcompanyeconomyrailwayTurkishUganda
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