Mozambique will receive €145 million from the EU and France to modernize the Maputo–Ressano Garcia railway, improving freight transport, reducing emissions, and strengthening the country’s position as a Southern Africa trade hub. This is reported by the railway transport news portal Railway Supply.

The financing includes two AFD loans totaling $133 million and a €30 million EU grant. These funds will double the final section of the railway and replace outdated signalling with a safer, modern system to enhance operations.

Mozambique gets €145M for railway modernization
Photo: AFD2025

Major Railway Expansion in Mozambique

The Maputo–Ressano Garcia corridor plays a critical role in connecting Mozambique with South Africa. Doubling the line will increase annual capacity from 14.9 million tons to 44.6 million tons, supporting regional trade and lowering road congestion.

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This expansion is expected to cut about 30,000 tons of CO₂ emissions each year, aligning with Mozambique’s climate goals. Modern signalling will also reduce accidents and improve efficiency across the network.

Mozambique Rail Project Targets 2030 Completion

CFM Chairman Agostinho Langa Júnior said the upgrades align with the company’s Strategic Plan, which also includes rolling stock acquisition and urban mobility improvements. The project will drive economic growth and regional integration.

French Ambassador Yann Pradeau highlighted France’s rail expertise and commitment to sustainable development, while EU officials emphasized that this investment under the Global Gateway strategy will enhance safe and clean transport corridors.

The next phase includes hiring two consulting firms for design and supervision, as well as project management. Construction is expected to conclude by 2030, delivering modern infrastructure that will reinforce Mozambique as a key logistics hub.

Source: www.eeas.europa.eu

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