National Railways of Zimbabwe seeks $115M for rail upgrades

The National Railways of Zimbabwe (NRZ) is in negotiations with Afreximbank for $115 million in financing to modernize its rail network. The funds are intended for the purchase of 10 locomotives and 315 wagons, as well as the repair of critical infrastructure.

Managed by the Mutapa Investment Fund, the NRZ is seeking to revitalize a network that has seen a significant decline in freight capacity. Cargo volumes dropped from a peak of 18 million tons in 1998 to approximately 2 million tons in 2025. The modernization effort is driven by a need to support the growing mining sector, particularly lithium and chrome, which requires efficient logistics to remain competitive.

The proposed $115 million represents only a portion of the estimated $600 million required for full modernization. Currently, much of the mineral output is transported by road, but the government aims to shift heavy freight back to rail to reduce road congestion and costs. Recent initiatives include transporting lithium concentrate to the Port of Maputo in Mozambique through partnerships with private operators.