TAZARA
TAZARA KEY FIGURES
| Revitalisation Investment | Concession Length | Track Rehabilitated | Concessionaire |
|---|---|---|---|
| USD 1.4 billion | 31 years | 1,800+ km | China Civil Engineering Construction Company |
Zambia, Tanzania and China signed a USD 1.4 billion TAZARA Revitalisation Agreement on September 29, 2025, handing China Civil Engineering Construction Company a 31-year freight concession to rehabilitate more than 1,800 kilometres of rail track from New Kapiri Mposhi in Zambia to Dar es Salaam in Tanzania.
The agreement is Zambia’s single largest transport investment and the most significant change to the railway’s capacity since it opened 50 years ago, with the concessionaire paying a fixed annual fee of USD 15 million plus 2% of gross freight revenue while the Zambian government retains the passenger operation.
The Revitalisation Agreement
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, along with maintenance workshops, quarries and auxiliary facilities[1]. Of the USD 1.408 billion total project cost, USD 1.17 billion is initial investment and USD 238 million is re-investment over the life of the project[1].
Concession Terms
The concession runs 31 years and covers only the freight side of TAZARA; the passenger operation remains with the Zambian government[1]. The concessionaire pays a fixed fee of USD 15 million annually plus a variable fee equal to 2% of gross freight revenue, from the first year of operations through year 31[1]. Zambia’s Minister of Transport and Logistics, Frank Tayali, toured the Zambian side of the TAZARA corridor from November 4 to 6, 2025, to brief TAZARA employees on what the concession means for them[1].
Government Framing and Context
The 2026 Budget Speech described the concession as enabling efficient transportation of minerals, agricultural products, other essential goods and passengers on the TAZARA corridor, and framed it together with the Zambia-Lobito Railway Project as positioning Zambia as a transport hub connecting the east and west coasts of Africa[2].
Investment Opportunities
The TAZARA concession structure itself points to the scale of opportunity in Zambia’s rail corridors: a single freight concession worth USD 1.4 billion, running 31 years, on a line that has operated below capacity for years, detailed further alongside the Zambia-Lobito Railway Project on the dedicated Transport page[1][2].
Last Update: September 2026
