In support of the Government of Mozambique’s efforts to upgrade its strategic infrastructure, the African Development Bank (AfDB) Group has recently approved a NEPAD Infrastructure Project Preparation Facility (NEPAD-IPPF) Special Fund grant of  USD 665,000, to undertake the Environmental and Social Impact Assessment studies (ESIA) for the Machipanda Railway Rehabilitation Project. The strategic objective of the ESIA will ensure that the project consider resiliency and sustainability issues while also provide comfort to subsequent debt financiers for the project on its bankability.

A Government Coordination, led by the Ministry of Transport, will supervise the operation, and the implementation agency will be the CFM (Caminhos de Ferro de Mocambique). The specific objective of and scope of work under this project  will beto review, identify and asses the existing environmental and social documentation and likely impacts of the rehabilitation project to be done on the Machipanda Railway line (part of the Beira Corridor), and to recommend appropriate measures for mitigation.

The Beira Corridor links Mozambique, to Zimbabwe, Zambia and the DRC,, providing road transport along the Beira–Mutare–Harare–Chirundu–Lusaka, and rail transportation comprising two rail lines: a 317-km Machipanda line (Beira Railway) linking Beira Port to the railway network in Zimbabwe (along the Beira Corridor);Route, and a 600-km Sena line linking Beira Port to the Moatize coal mines via Inhamitanga, Caia, and Vila de Sena. It’s expected that the rehabilitation works not only will restore the railways line on this strategic transport and trade corridor but also improve the tonnage capacity of rail from 60 tons wagons to 80 tons wagons. The support of the NEPAD-IPPF Special Fund will therefore play a catalytic role in unlocking both public and private investment required for the rehabilitation works.  

The African Development Bank’s 2018-2022 Country Strategy Paper for Mozambique has two pillars: "Development of infrastructure to enable transformative, inclusive growth and job creation", and "Support to agricultural transformation and value chain development”.

The African Development Bank combined active portfolio in Mozambique comprises 28 operations with a commitment of USD 1,413.1 million, including five regional operations and  strategic investments in Northern Mozambique  with a total commitment of USD 500 million over the past eight years, mostly in road and rail sectors, but also critical interventions in skills and tertiary education sectors.

The NEPAD-IPPF Special Fund (NEPAD-IPPF) established and hosted by the African Development Bank is supported by generous contributions from the governments of Canada, Denmark, Germany, Norway, Spain, the United Kingdom and the African Development Bank.

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