Tanzania
ZAMBIA-TANZANIA RELATIONS KEY FIGURES
| TAZARA Revitalisation | Border Post | Bilateral Trade Meetings | Electricity Interconnector |
|---|---|---|---|
| USD 1.4 billion | Tunduma/Nakonde OSBP | 3rd meeting, April 2024 | Works starting 2026 |
Zambia and Tanzania signed a USD 1.4 billion agreement in September 2025 to revitalise the TAZARA railway connecting the two countries, part of a broader relationship spanning trade, energy and border infrastructure formalised through State Visits by both countries’ Presidents in 2022 and 2023.
The two countries’ third Bilateral Trade Meeting, held in April 2024 at the Tunduma/Nakonde One Stop Border Post, focused on resolving non-tariff barriers, while Zambia’s 2026 Budget Speech confirmed that works on a Zambia-Tanzania electricity interconnector, which would also extend Zambia’s grid access toward Kenya, Uganda and Ethiopia, are due to start in 2026.
TAZARA and Rail Connectivity
Zambia, Tanzania and China signed a USD 1.4 billion TAZARA Revitalisation Agreement on September 29, 2025, under which China Civil Engineering Construction Company will rehabilitate more than 1,800 kilometres of rail track running from New Kapiri Mposhi in Zambia to Dar es Salaam in Tanzania, under a 31-year freight concession[1].
Trade Relations
The United Republic of Tanzania and the Republic of Zambia convened their third Bilateral Trade Meeting on April 15 to 18, 2024, at the Tunduma/Nakonde One Stop Border Post on the Tanzanian side, to discuss and resolve remaining non-tariff barriers hampering trade between the two countries, following an earlier Bilateral Trade Ministerial Meeting held in Nakonde District in November 2023[2]. These meetings followed directives from Zambian President Hakainde Hichilema and Tanzanian President Samia Suluhu Hassan, issued during a State Visit to Tanzania in August 2022 and a reciprocal visit to Zambia in October 2023, in which both leaders affirmed the need to strengthen historical, trade, investment, economic and fraternal relations between the two countries[2].
Energy Interconnection
Zambia’s connection to the Southern African Power Pool cushioned the impact of the 2024 drought by allowing power imports and exports as needed, and works are due to start in 2026 on an interconnector between Zambia and Tanzania that would extend Zambia’s regional grid access to Kenya, Uganda and Ethiopia[3]. The 2026 Budget Speech noted that had the interconnector existed sooner, Zambia’s recent power crisis would have been less severe, since Tanzania had surplus electricity it was unable to sell to Zambia without one[3].
Investment Opportunities
The combination of the TAZARA rail concession, the planned electricity interconnector, and ongoing bilateral trade talks aimed at removing non-tariff barriers at the Tunduma/Nakonde border points to a relationship actively being built out across transport, energy and trade infrastructure simultaneously, relevant to investors positioning around Zambia’s regional connectivity[1][2][3].
Last Update: September 2026
