Financial support for the Transnet project has been approved by the South African government
07.12.2023
A state guarantee of 47 billion rand (2.49 billion USD), with 22.8 billion rand allocated to debt servicing, underscores the vital role Transnet plays in the country’s economy, overseeing maritime ports and cargo transportation, this is reported by the railway transport news portal Railway Supply.
Despite challenges like asset management and illicit activities, the government believes that state backing and a reform plan will address these issues.
Transnet is actively exploring strategies, including selling non-core assets, cost reduction, and various financing models to ensure infrastructure stability.
With the state guarantee, Transnet is exploring solutions like project financing, concessions, and joint ventures to expedite the reform plan and ensure the effective functioning that ultimately supports the country’s economic growth.
Photo: Transnet
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