Multinational - Nacala Rail and Port Project - Central East African Railways Company Limited

Project Summary

Approval Date 16 Dec 2015
Signature Date 27 Nov 2017
Sovereign / Non-Sovereign Non Sovereign
Sector Transport
DAC Sector Code 21012
Environmental Category 1
Commitment U.A 9,718,922.9
Status Completion

Project General Description

The present intervention is an integrated and transformative infrastructure project supporting growth along a regional corridor shared by two countries, Mozambique and Malawi. It consists of the construction and operation of a 912 km cape gauge rail line (682km of which is brownfield) from the Moatize mine in western Mozambique to the Nacala port on the eastern coast of the country through Malawi. The Project also includes the construction of a deep sea port and associated terminal infrastructure at Nacala-à- Velha. The Nacala Corridor will be anchored on coal exports (18 MTPA), general cargo/freight (2 pairs of trains per day) and passengers (1 pair of trains per day). The project is sponsored by three entities: Vale Logistics (47.5% ownership), Mitsui Co., Ltd. (47.5%), and the Ports and Railways of Mozambique (CFM, 5%).

Project Objectives

The Project is expected to contribute to an improvement of the land and ship transport in the sub-Saharan Africa region and the regional economic growth of the sub-Saharan Africa including Mozambique which has abundant natural resources.


The Project is expected to create 1,500 jobs and add USD 88 million to the government exchequer in taxes. Furthermore, it will spur economic development in the region by providing more efficient and cost effective transport of people and goods throughout the corridor. In addition, FAPA support is being prepared to strengthen the development of an inclusive private sector through the creation of linkages with the domestic community and the local businesses including women along the corridor.

Participating Organization

African Development Bank


IATI identifier 46002-P-Z1-D00-033
Last Update 03 Dec 2022


Contact Details


Geographic Location

Country Multinational
Coordinates Location Name
-14.56257 40.68538 Nacala