Kenya: The Standard Gauge Railway Takes Shape

Tokyo40 said:

Congratulations Kenya for building a new railway network.

Word of caution:
There is no such thing as Free Lunch. Kenya has borrowed 90% of the $3.8 billion from China Exim Bank to finance this project.

Haven't you guys learned from Angola?

China has lent Angola around $20 billion since a 27-year civil war ended in 2002.

They are borrowing another $25 billion from China and Brazil to fund the budget gap in 2015 due to low crude oil prices.

Repayments are often paid with oil or funds go directly to Chinese construction firms that have built roads, hospitals, houses and railways across the southern African country.

This means, however, dollars don't end up entering the real economy, increasing costs for ordinary Angolans.

There are around 50 Chinese state companies and 400 private companies operating in Angola alone.

I honestly hope that Kenyans will be able to repay the Chinese without sacrificing their future.

Wishing you all the best.

source:Bloomberg.com, Reuters.com

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ebu tufanya hesabu hapa. consortium kutoka china 10% wanatoa deni kwa tz na yule international conman rothschild kupitia mabenki analeta 90%. total liability kwa mlala hoi mtz deni 100%. talk of a pot calling calling the kettle black!!!

ndustries | Sun May 31, 2015 6:48am EDTRelated: ENERGY, INDUSTRIALS
Tanzania awards $9 bln rail projects to Chinese companies

DAR ES SALAAM




May 31 Tanzania has awarded contracts to build new railway lines worth about $9 billion to Chinese firms, its transport minister said, expanding Beijing's presence in East Africa's second-biggest economy.
Transport Minister Samuel Sitta told parliament on Saturday a Chinese consortium had been awarded a contract to build a 2,561 km (1,536 miles) standard gauge railway connecting Dar es Salaam port to land-locked neighbours at a cost of $7.6 billion.
"A consortium of Chinese railway companies led by China Railway Materials (CRM) has been picked to help us build the railway line," he said.
The consortium will provide 10 percent of the funding for the project while financial adviser Rothschild is finalising procedures for financing of the project through banks, Sitta said.

MK254 said:

The Standard Gauge Railway is rapidly taking shape, transforming the landscape and livelihoods.

21 campsites have been put up along the route, each supervising the works on a particular section. Two factories have also been opened to supply the sleepers and T-Beams – for supporting bridges.

Bridges will account for 30 km of the 609 km line, including a 2km bridge over Tsavo River. Several other bridges will be built in Tsavo to allow the elephants to pass under the line. Each of these will be 7 metres high and 50 metres long.

The Sh 345 billion project is scheduled for completion in June 2017. It will carry freight trains at a speed of up to 80km/h and passenger trains at a maximum speed of 120km/h.

We have some pictures showing some of the progress.

Source: nairobiwire.com

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wameleta some of the rolling stock laking ningeprefer GE kuliko the silly chinese models!!!

Iconoclastes said:

Tokyo40, Kenya was well aware that something had to give in order to obtain the infrastructure plus the technology transfer. Considering the immeasurable benefits that it is poised to accrue upon completion of the project and its eventual operation, bearing the debts is the one sacrifice it is willing to make.

The debt isnt too huge to the extent it would really dent her economy so severely.
To answer your concern above; yes, Kenya can quite comfortably handle the debt.
I believe that the pipo who did the feasibility study on the project are smatter than you and I will ever be, they wouldnt recommend an idea that would be inimical to the economic growth of their country.

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I understand the importance of this project to your country.

I have tried to find information regarding the transfer of technology but failed. I could easily find it for the Indonesian train project online.

Perhaps, you know more about it. Could you kindly share it with me? All I know is, the materials and contractors will be Chinese. 90% of the financing will be borrowed from China. Will they make any component of the trains locally? Are they willing to transfer their technology to the Kenyans?

About the debts, it is premature to predict that Kenya will have no problem paying it back. There are many richer countries than Kenya who were just as optimistic on their debt repayments and defaulted along the way. I don't have to name these countries, they are in the news everyday.

One of the major industries in your country is tourism. Kenyan economy suffered as a result of terrorism, security concerns, political violence and the European economic crisis.

Your $1.2 billion in earnings in tourism can evaporate without warning due to the above issues. These issues are beyond Kenya's control, so Kenya can't exactly enjoy economic "comfort" when she is living in an uncomfortable environment.

Kenya is already spending $1.7 billion on security alone. The war with Al Shabaab is still going on and we expect the costs to increase as Kenya tries to keep her citizens safe and investors secure.

So, forgive me, if I don't share the same optimism as you when it comes to future debt payment.

Smart guys also advised Dubai to borrow to finance her infrastructures just few years ago. Also smart guys advised the banks to lend money to poor people in America to buy their first homes.

I imagine, they have done a thorough feasibility study in Dubai before advising their client and pocketing their fat fees.

You know the end result once their advices were followed.

Nevertheless, I wish your country all the best.

waltham said:

ebu tufanya hesabu hapa. consortium kutoka china 10% wanatoa deni kwa tz na yule international conman rothschild kupitia mabenki analeta 90%. total liability kwa mlala hoi mtz deni 100%. talk of a pot calling calling the kettle black!!!

ndustries | Sun May 31, 2015 6:48am EDTRelated: ENERGY, INDUSTRIALS
Tanzania awards $9 bln rail projects to Chinese companies

DAR ES SALAAM




May 31 Tanzania has awarded contracts to build new railway lines worth about $9 billion to Chinese firms, its transport minister said, expanding Beijing's presence in East Africa's second-biggest economy.
Transport Minister Samuel Sitta told parliament on Saturday a Chinese consortium had been awarded a contract to build a 2,561 km (1,536 miles) standard gauge railway connecting Dar es Salaam port to land-locked neighbours at a cost of $7.6 billion.
"A consortium of Chinese railway companies led by China Railway Materials (CRM) has been picked to help us build the railway line," he said.
The consortium will provide 10 percent of the funding for the project while financial adviser Rothschild is finalising procedures for financing of the project through banks, Sitta said.

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If you would have read my comments carefully, you would have noticed that my concerns are not only about Kenya's ability to repay her Chinese debts but also about Africa's dependence on Chinese aid in general.

We can all learn from Angola's mistakes. We need to demand technology transfer just like in Indonesia, so that we can build our own trains and engines. We can also export the expertise to other nations. We can build our own local components and create much more jobs.

What you have now is one hundred percent Chinese-made trains and technology. Kenya will have to import everything from China to service the rail network.

If Kenya or in that matter, Tanzania defaults, both governments will have to repay China by awarding tenders to their companies to reduce their debts, at the expense of the local companies.

It has happened in Angola, and it could happen in East Africa as well.

waltham said:

wameleta some of the rolling stock laking ningeprefer GE kuliko the silly chinese models!!!

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We have a saying in Swahili :

"Masikini hachagui".

Tokyo40 said:

We have a saying in Swahili :

"Masikini hachagui".

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Nkt hii si grant ama aid Falai kaa tz wachana na issues za kikenya ww cjui untaka nn??

waltham said:

wameleta some of the rolling stock laking ningeprefer GE kuliko the silly chinese models!!!

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those are cargo trains, you don't need beauty to carry cargo

nyangau mkenya said:

those are cargo trains, you don't need beauty to carry cargo

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i wish you were right kwa sababu engine ni engine. it can pull a cargo or passenger wagon!!!!!!

Tokyo40 said:

If you would have read my comments carefully, you would have noticed that my concerns are not only about Kenya's ability to repay her Chinese debts but also about Africa's dependence on Chinese aid in general.

We can all learn from Angola's mistakes. We need to demand technology transfer just like in Indonesia, so that we can build our own trains and engines. We can also export the expertise to other nations. We can build our own local components and create much more jobs.

What you have now is one hundred percent Chinese-made trains and technology. Kenya will have to import everything from China to service the rail network.

If Kenya or in that matter, Tanzania defaults, both governments will have to repay China by awarding tenders to their companies to reduce their debts, at the expense of the local companies.

It has happened in Angola, and it could happen in East Africa as well.

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dont become philosophical with sexy comments now I gave you data of a naked king in your courtyard!!!!!

waltham said:

dont become philosophical with sexy comments now I gave you data of a naked king in your courtyard!!!!!

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Sina muda na mambo ya kitoto.
Sipo hapa kushindana data na wewe.

Haya, hongera.

sam999 said:

Nkt hii si grant ama aid Falai kaa tz wachana na issues za kikenya ww cjui untaka nn??

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Na wewe pia una tabia ya kitoto kama mwenzako.

Upo kwenye public forum, huna haki yoyote ya kuniambia niandike nini au wapi. Kama hupendi kusoma, hama JF. Tafuta ya kwenu.

Sijasema ni grant au aid. Kenya imekopa kwa Mchina, wao sio wajinga wapeleke biashara Marekani kununua GE engines kama anavyotaka mwenzako. Kila kitu kitatoka China.

Sijui kama unaelewa Kiswahili vizuri.

Tokyo40 said:

Na wewe pia una tabia ya kitoto kama mwenzako.

Upo kwenye public forum, huna haki yoyote ya kuniambia niandike nini au wapi. Kama hupendi kusoma, hama JF. Tafuta ya kwenu.

Sijasema ni grant au aid. Kenya imekopa kwa Mchina, wao sio wajinga wapeleke biashara Marekani kununua GE engines kama anavyotaka mwenzako. Kila kitu kitatoka China.

Sijui kama unaelewa Kiswahili vizuri.

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Sawa enda file report kwa chief?!!

We Tokyo40 ni zumbukuku wa hali ya juu hivi sasa uki criticise kenya kwa kuwa kila kitu kenya ni ya kichina wasn't China like kenya 3 decades ago????

Ika tegemea France kuijengea nuclear Britain n Japan kuijengea ma bara bara for almost a decade sasa hivi watu China then walikuwa wanazusha eti kila kitu uchina ni ya ufaransa?????


Sometimes fikiria kabla ya kuropoka

Wanajenga sai kesho ni wakenya watakuwa wanajijengea in 50yrs tukienda central Africa kuwapa technology yetu watu central Africa watakuwa wanazua eti oooh kila kitu ni ya kikenya hapa hakuna faida!!! NKT


AFTER WORLD WAR 2EUROPE WAS REDUCED TO RUBLE AMERICA AND CANADA HELPED REBUILD EUROPE WITH THEIR OWN TECHNOLOGY - watu uropa walikuwa wanazua eti aaaah kila kitu ni kimarekani hapa????


COMPCT MENTALITY WILL KILL YOU NO COUNTRY IN THIS WORLD BUILT IT'S SELF ALONE AFTER AMERUCAN INDEPENDENCE FRANCE HELPED AMERICA TO IT'S FEET WORLD WAR 2 FRANCE WENT DOWN AMERICA HELPED


JAPAN WAS TOO REBUILD BY AMERICANS


PIA RUSSIA WAS REBUILD BY AMERICANS


SO MEA

sam999 said:

We Tokyo40 ni zumbukuku wa hali ya juu hivi sasa uki criticise kenya kwa kuwa kila kitu kenya ni ya kichina wasn't China like kenya 3 decades ago????

Ika tegemea France kuijengea nuclear Britain n Japan kuijengea ma bara bara for almost a decade sasa hivi watu China then walikuwa wanazusha eti kila kitu uchina ni ya ufaransa?????


Sometimes fikiria kabla ya kuropoka

Wanajenga sai kesho ni wakenya watakuwa wanajijengea in 50yrs tukienda central Africa kuwapa technology yetu watu central Africa watakuwa wanazua eti oooh kila kitu ni ya kikenya hapa hakuna faida!!! NKT


AFTER WORLD WAR 2EUROPE WAS REDUCED TO RUBLE AMERICA AND CANADA HELPED REBUILD EUROPE WITH THEIR OWN TECHNOLOGY - watu uropa walikuwa wanazua eti aaaah kila kitu ni kimarekani hapa????


COMPCT MENTALITY WILL KILL YOU NO COUNTRY IN THIS WORLD BUILT IT'S SELF ALONE AFTER AMERUCAN INDEPENDENCE FRANCE HELPED AMERICA TO IT'S FEET WORLD WAR 2 FRANCE WENT DOWN AMERICA HELPED


JAPAN WAS TOO REBUILD BY AMERICANS


PIA RUSSIA WAS REBUILD BY AMERICANS


SO MEA

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Wewe ni mpumbavu wa hali ya juu.

Ndiyo maana nimekuambia huelewi Kiswahili vizuri.

Hamna kitu chochote unachoweza kunifundisha.

Hicho kisomo ulichokiandika kwa herufi kubwa nimesoma darasa la sita. Kabla kujitia msomi, ungefahamu watu wa kuwapa somo lako kwanza. Acha ujuha.

Usifikiri kila mtu hapa ni high school graduate.

Sawa basi!!

Tokyo40 said:

Sina muda na mambo ya kitoto.
Sipo hapa kushindana data na wewe.

Haya, hongera.

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hapo sio pa kuleta ushabiki wa vikao vya gongo. tafuta wajinga kwingine uwahadithie.

waltham said:

hapo sio pa kuleta ushabiki wa vikao vya gongo. tafuta wajinga kwingine uwahadithie.

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Wewe ni mpumbavu vile vile. Mwenzako ameshafahamu.

Na wewe ukikua utafahamu.

Kwa kuwa huna hata iota moja ya brain cell, huwezi kutofautisha uwezo wa wachangiaji hapa.

"If your brains were dynamite, there wouldn't be enough to blow your hat off"- Kurt Vonnegut

Tokyo40 said:

Wewe ni mpumbavu vile vile. Mwenzako ameshafahamu.

Na wewe ukikua utafahamu.

Kwa kuwa huna hata iota moja ya brain cell, huwezi kutofautisha uwezo wa wachangiaji hapa.

"If your brains were dynamite, there wouldn't be enough to blow your hat off"- Kurt Vonnegut

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kuingia ligi with a damn fool is waste of my time and energy, nakata kona nenda zangu otherwise the good people of JF deserves none of your nonsense!!!

nyangau mkenya said:

those are cargo trains, you don't need beauty to carry cargo

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Those are for laying tracks..let us be patient,but still tutatumia tu

gambagumu said:

Hongereni, mmetangulia tu, nasi twaja

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Mwaja lini:what: