China to finance section of Malian railway with $1.1 billion

Malian railway train
Malian railway train | Contributed photo
Malian Transport Ministry officials said the $1.1 billion needed to fund the Senegalese section of the Malian railway line that connects Bamako, Mali, and Dakar, Senegal, will be provided by a loan from the Chinese government.

The loan carries an interest rate of 2 percent and will be repaid over a 30-year term.

Along with the financing, the deal provides for the training of engineers and technicians to work on the newly remodeled railroad. Twenty-two train stations will be rebuilt.

The Senegalese section of the railway stretches 372 miles and is owned by China Railway Construction Corp. International.

The total cost of the railway project on the 800-mile-long line will be $1.4 billion. The line is crucial for trade between Mali and Senegal and has needed rebuilding for many years.

Originally, upkeep of the railway was entrusted to French corporation Advens, with which Malian and Senegalese officials signed a 25-year operating agreement. Citing negligence, the officials revoked the agreement.

Organizations in this Story

Agence France-Presse

Want to get notified whenever we write about Agence France-Presse ?
Next time we write about Agence France-Presse, we'll email you a link to the story. You may edit your settings or unsubscribe at any time.