Afreximbank and Thelo DB signs the MOU for the construction of Africa’s railway network.
The Memorandum of Understanding signed during the African Investment forum in Johannesburg will enable both parties to finance, develop and operate the railway network across Africa. The project will remodel the current railway network to a better standard while encouraging trade, investment and economic skills in the continent.
With the rapid construction of railway in different African countries integrating them to make a good network will ease transportation of goods within Africa. According to the President of Afreximbank this MOU signed will foster trade within the continent.
“That includes creating capacity to deliver to the markets. With Thelo DB’s capacity to deliver and operate railway mobility systems and Afreximbank’s ability to finance projects, we have an incredibly strong team,” said Oramah.
Afreximbank is a multilateral African trade finance institution with the ultimatum to expedite, encourage and enhance trades within Africa and across.
The MOU is prove of Africa’s awareness of the African Continental Free Trade Agreement will face challenges without the logistical capacity to move goods.
“The MoU solves a very important part of the puzzle for us, which is, when we’re doing these big capital projects, how do we finance them? Rather than building our own expertise as Thelo DB, working in an integrated manner with Afreximbank magically gives us a solution to that challenge. So we can now sit down with our clients and say not only do we bring technical capacity of a global standard, we bring you unbelievable capital mobilization in the MoU we signed this morning,” said Ronald Ntuli, Thelo Group Chairman.
Investors, project sponsors and government representatives discussed 63 projects valued at $46.9 billion involving seven sectors in 24 countries. Investment interest worth $38.7 billion was secured for 49 projects.