Namibia is embarking on a major railway upgrade project with the help of the African Development Bank (AfDB). The project, estimated to take four years to complete, will see the improvement of approximately 220 kilometers of the railway line between Kranzberg and Otjiwarongo. This critical section connects the Erongo Region, which produces uranium, to central Namibia.
The project is funded by a combination of loans and grants. The AfDB is providing the majority of the funding, with N$3.7 billion coming from their main loan and an additional N$5 million from their Middle Income Country Technical Assistance Fund. The Namibian government will contribute the remaining N$3.4 billion.
Upgrading the railway infrastructure is expected to bring a number of benefits. Train speed restrictions will be eliminated, bottlenecks in the transport sector will be addressed, and overall operational efficiency, safety, and sustainability will be improved. This will not only benefit the railway itself but also the broader Namibian economy.
The project is currently in the procurement stage. While no physical work has begun yet, the government is busy preparing and compiling the necessary solicitation documents. This is an important initial step to ensure a smooth and efficient project rollout.
This upgrade is just one piece of the puzzle for Namibia’s railway network. Approximately half of the country’s 2687 kilometers of railway lines require improvement. The government owns the rail infrastructure, while TransNamib operates the trains.
The project aligns with Namibia’s long-term Vision 2030 for the country’s logistics value chain. By tackling railway infrastructure bottlenecks, the project aims to strengthen Namibia’s trade competitiveness and that of the southern African subregion as a whole.
The specific improvements planned include constructing 16 bridges, renovating two stations, and procuring a significant amount of new rail materials (55,000 tonnes) to build the upgraded tracks. Additionally, the project will focus on modernizing the railway signalling system along the Walvis Bay-Tsumeb line. This will further enhance the reliability, safety, and capacity of the entire railway system.
The AfDB highlighted the positive impact the project will have on the surrounding communities. Since a large portion of the upgraded railway line crosses commercial agricultural land and urban areas, transporters, agricultural businesses, and industries will all benefit. They can expect faster and more affordable transportation of goods, thanks to a reliable and safe rail system. This will contribute to both regional and national development.
Another positive impact will be the reduction of road maintenance costs. As bulk cargo transporters shift from road to rail, the strain on Namibia’s roads will decrease, leading to lower maintenance expenditures.
The railway upgrade project is just one aspect of Namibia’s broader railway ambitions. The country is also looking towards future expansion with the proposed Trans-Zambezi Railway Extension-Grootfontein-Rundu-Katima Mulilo project. A feasibility study for this project was completed in 2022. Namibia and Zambia are now collaborating to establish a Joint Technical Committee that will oversee the necessary processes for the Trans-Zambezi Railway Link’s development.
