Mnangagwa Meets China Railway Group Over $533 Million Rail Deal

President Emmerson Mnangagwa on Tuesday held talks with executives from the China Railway Group (CRG) on a proposed deal to modernise Zimbabwe’s ageing railway infrastructure, an official has confirmed.

Finance Minister Mthuli Ncube has previously indicated that the agreement is valued at US$533 million.

Presidential spokesperson George Charamba, commenting on the meeting in Beijing, said CRG has been engaging with the Zimbabwean government on plans to revamp and expand the national rail network.

Mnangagwa is in China to attend the Victory Parade on Wednesday, marking the 80th anniversary of Japan’s surrender in World War II and the end of the conflict.

CRG is one of the world’s largest infrastructure companies, having built more than two-thirds of China’s railway system and managing major projects globally. Charamba said:

“Zimbabwe is on the verge of clinching a deal with the Chinese Railway Group so work on this critical enabler starts.”

The partnership would mark one of the largest Chinese investments in African rail infrastructure in recent years.

Talks with China Railway Group (CRG) are aimed at a comprehensive overhaul of the system, including modernisation of infrastructure, rehabilitation of existing lines, upgrades to signaling, and the procurement of 17 new locomotives and 209 freight wagons.

Phase 1 also includes construction of five new stations and development of a key Beitbridge–Harare line, Finance Minister Mthuli Ncube previously disclosed.

The $533 million project will be executed by TransTech Engineering Corporation, a CRG subsidiary with experience in African infrastructure, including the TAZARA line linking Zambia and Tanzania and the Addis Ababa–Djibouti Railway.

Funding arrangements have not been finalised, but are expected to involve Chinese loans and contractor financing—adding to Zimbabwe’s debt obligations to Chinese lenders.

More: ZimLive