Tanzania and Burundi Partner on SGR Project: Boosting Regional Connectivity
Significant news for East African infrastructure development!
The Tanzania Railways Corporation (TRC) has signed a contract for the construction of the Standard Gauge Railway (SGR) segments 7 and 8, connecting Uvinza in Tanzania to Musongati in Burundi. This 282-kilometer project, including 240 km of the main track and 42 km of passing loops, marks a major step in advancing regional rail integration. For travel and trade professionals, this new infrastructure promises to enhance connectivity and stimulate economic growth across East Africa.
The contract, valued at US$2.154 billion, was signed between the Government of Tanzania (through TRC) and the Government of Burundi (through the Ministry of Infrastructure), in partnership with a consortium of Chinese companies, CREGC (China Railway Engineering Group Co. LTD and CREDC (China Railway Engineering Design and Consulting Group Co. LTD). The project has a timeline of 72 months, including a 12-month observation period. This partnership underscores the collaborative efforts driving the project forward.
Tanzania’s Minister of Transport, Prof. Makame Mbarawa, described the agreement as a key milestone in advancing the African Union’s 2026 Agenda for regional rail integration. The project will include a 1-km rail and road bridge connecting Tanzania and Burundi, seven railway stations, and a cargo terminal in Musongati. This infrastructure development is set to create a more efficient transportation network that can facilitate regional trade and travel.
The railway will be built in two sections: Uvinza to Malagarasi (180 km) and Malagarasi to Musongati (102 km), with the total cost estimated at TZS 5.6 trillion. The project’s economic impact is already evident, with more than 30,000 jobs created and over TZS 350 billion injected into the local economy. Additionally, subcontracts valued at approximately TZS 3.7 trillion have been awarded to Tanzanian firms, boosting local businesses. This shows the ripple effect of such large-scale infrastructure projects.
TRC Director-General Masanja Kungu Kadogosa confirmed that this contract is part of the second phase of Tanzania’s SGR expansion, following the signing of the Tabora-Kigoma section in December 2022. With the Uvinza-Musongati contract now in place, three out of the four planned sections in the second phase are under development. This commitment demonstrates Tanzania’s vision of linking itself, Burundi, and the DRC, reinforcing its position as a major transport hub.
Representatives from CREGC and CREDC expressed their commitment to delivering a high-quality railway, highlighting their long-standing collaboration with Africa, including their construction of the 1,560-km TAZARA railway more than 50 years ago. This history of successful projects inspires confidence in their ability to complete this project on schedule. In January 2022, Tanzania and Burundi signed an agreement to cooperate on the Uvinza-Musongati railway, with TRC taking responsibility for contractor procurement and project oversight on behalf of both countries.
The expansion of the SGR network is expected to transform trade and mobility in the region, reinforcing Tanzania’s position as a critical transport hub in East and Central Africa. This new infrastructure will significantly improve connectivity, facilitating economic growth, and increasing regional integration across the East African region. For travel agents, this will lead to new opportunities as trade and tourism grow in the region.