East Africa needs to raise up to $US25 billion, or nearly two-thirds of Kenya’s annual output, over the next decade to upgrade its railways in order to boost trade, Reuters reports, quoting the East African Community’s (EAC) deputy secretary-general for infrastructure and planning Alloys Mutabingwa:
“We are talking about the railway master plan which is expected to consume between $20 and $25 billion,” he said, adding that work on upgrading existing railways and build new lines is likely to start in 2013. New rail links are to be constructed between inland countries and the ports of Dar-es-Salaam in Tanzania and Kenya’s Mombasa. The African Development Bank is the lead financial advisor to the railway project and the EAC is exploring all options to raise the necessary capital, Mutabingwa said: “We are looking at equity, raising capital on the debt markets, all these options will be explored”.
The EAC launched a common market in July, opening the borders of Uganda, Kenya, Tanzania, Rwanda and Burundi with a combined GDP of $75 billion, although poor roads and railways remain an impediment to greater trade, Reuters points out.

Original article [Railways Africa]