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Standard gauge railway construction launched

By Vision Reporter

Added 9th October 2014 12:39 AM

President Yoweri Museveni has launched the construction of the $8b Standard Gauge Railway (SGR), revealing that the Chinese contractor will source for funding, which Uganda will pay back. This was at Speke Resort Munyonyo in Kampala.

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President Yoweri Museveni has launched the construction of the $8b Standard Gauge Railway (SGR), revealing that the Chinese contractor will source for funding, which Uganda will pay back. This was at Speke Resort Munyonyo in Kampala.

By David Lumu and Raymond Baguma

President Yoweri Museveni has launched the construction of the $8b Standard Gauge Railway (SGR), revealing that the Chinese contractor will source for funding, which Uganda will pay back. This was at Speke Resort Munyonyo in Kampala.

Museveni was joined by his regional counterparts: Paul Kagame of Rwanda and South Sudan President Salva Kiir to launch the project that is intended to reduce the cost of transport in the region and spur economic development.

Kenya was represented by Engineer Michael Kamau, the cabinet secretary for transport and infrastructure, while the Ethiopian prime minister Hailemariam Desalegn, sent a special envoy.

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(L-R) Presidents Paul Kagame, Salva Kiir, Yoweri Museveni; Dr. Fassil Hahom, Ethiopian minister and adviser to the Prime Minister (3rdR), together with other officials viewing an exhibition of the planned standard Guage Railway Networt starting from Malaba border, Kampala, Gulu, Parkwach to South Sudan, then kampala to Rwanda. ALL PHOTOS/ENOCK KAKANDE

The SGR is part of the Northern Corridor Integration Project which runs from Mombasa through Nairobi in Kenya to Kampala in Uganda, Kigali in Rwanda and Juba in South Sudan.

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Dr. Fassil Hahom, Ethiopia  minister and adviser to the Prime Minister; Presidents Salva Kiir (South Sudan), Paul Kagame (Rwanda) and Yoweri Museveni (Uganda) at Munyonyo during the launch of the Uganda Standard Guage Railway.

Explaining how the SGR would reduce the cost of transport, Museveni noted that transportation of an 18-tonne goods container from the port of Mombasa to Kampala presently costs $4,000 (about sh10.4m). However, using the railway, transportation of the same container to Kampala will cost $2,300 (about sh6m).

“We have linked up with China Harbor Engneering (CHE). They have good experience in building railways, harbours and bridges and it will be their job to source for the money in terms of a loan which we shall pay back, to build the railway with our engineering brigade of the army.” Museveni said.

“We are going to discuss more details with our partners in China. I thank China for being ready to give these huge loans for the works. But in the next three years, we shall be having our own money from oil.”

Details in the New Vision tomorrow

Standard gauge railway construction launched

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