The government of Uganda has signed a $3bn contract with Yapı Merkezi for the construction of the Malaba-Kampala (Eastern Route) Railway project.
The railway line, which is 273km in length, will be fully electrified and adhere to European and American standards.
This project includes the design, construction, and procurement of rail vehicles for a standard gauge railway with a design speed of 120 km/h. It will feature two major stations, four medium stations, one marshalling yard, and three freight terminals.
The Eastern Route Railway project will enhance connectivity in the region by linking Uganda with Kenya and has a freight capacity of 25 million tonnes per year.
This connection is strategically crucial, as it will extend to the Port of Mombasa on the Indian Ocean upon the completion of the Naivasha-Malaba Railway in Kenya.
Yapı Merkezi vice chairperson Erdem Arıoğlu said: “We are very proud to undertake the Eastern Route Railway Project, one of the largest projects signed by Turkish contractors abroad, which will connect Uganda to Kenya.
“By leveraging our extensive expertise in railway engineering, we have achieved success by providing the most suitable engineering solutions for this important project. We are very happy to successfully represent our country abroad.”
Earlier, a China-based company had signed a construction contract in 2015, but it was cancelled by the Ugandan government due to unmet project financing obligations.
Yapı Merkezi stepped in, signing a memorandum of understanding (MoU) and later submitting a construction and financing proposal to the Ugandan Ministry of Transport in July 2023.
After proposal negotiations concluded by June 2024, Yapı Merkezi received the letter of award in September this year.
The company is also involved in the Kampala-Kasese (Western Route) railway project, which aims to provide the Democratic Republic of the Congo with rail access to the Port of Mombasa and is expected to commence construction this year.
“Yapı Merkezi gets $3bn Malaba-Kampala rail contract in Uganda” was originally created and published by Railway Technology, a GlobalData owned brand.
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