By Rudo Saungweme

Government will soon be releasing funds availed by Diaspora Infrastructure Development Group (DIDG) to conduct an overhaul of the National Railways of Zimbabwe (NRZ), The Harare Post can report.

A source who spoke on condition of anonymity revealed that the NRZ refurbishment is awaiting guidance from Treasury for the project to commence indicating that DIDG through Afrexim Bank released funds to the tune of US$400 million.

“The deliberations that were made on 19 August this year resolved the refurbishment of the NRZ to commence. Treasury will first give guidance on the availability of the US $400 million which was availed by the Afrexim Bank to DIDG.

“Subject to such guidance, the project will progress in terms of the provisions of the Joint Ventures Act,” said the Source.

The refurbishment of the country`s rail infrastructure will enable the economy`s capacity to handle and transport bulk cargo in a more efficient way.

Rail transport is cheaper for the shipment of bulk commodities such as mineral ore and farm produce compared to road haulage.

This mode of transport is relatively safer than road transport and solves the road transport congestion problem.