Mozambique On Track For $220M Rail Modernization Journey

On 26 April 2025, Mozambican Minister of Transport Joao Matlombe announced its plan to invest USD 220 million by 2030 in the modernization of its railway network. The plan includes upgrade of railway lines and the acquisition of new rolling stock to expand the transport capacity of goods and passengers at both national and regional levels.

Recently, the National Rail Company of Mozambique, Portos e Caminhos de Ferro de Mocambique (CFM) took delivery of its three new diesel locomotives from China Railway Rolling Stock Corporation (CRRC). The locomotives are based on the SDD1 model which have been acclimatized for the local environment with a more powerful air conditioning system to ensure the comfort of passengers.

The doubling of the remaining 25-km segment of the Ressano Garcia railway line is a top priority as the line has a regional scope by connecting Mozambique to South Africa. As part of the rail modernization plan, Mozambique plans to procure at least 15 locomotives and 250 wagons.

During 2024, CFM carried out more than 7 million passenger-trips and generated a revenue approaching USD 40 million, representing a robust 55% growth year-on-year. The results are even more remarkable given that Mozambique experienced a period of unrest after the general elections in October 2024.

In July 2024, Mozambique, Zimbabwe and Botswana signed a tripartite agreement to build the regional rail from the Techobanine seaport on the Indian Ocean to the Botswanian capital Gaborone, after passing through the mineral-rich region of Bulawayo in Zimbabwe.