The New Development Bank (NDB) announced a R5 billion loan agreement to Transnet, South Africa’s leading freight transport and logistics company, on Friday.
This investment, aims to modernize and improve South Africa’s freight rail sector.
H.E. Dilma Rousseff, President of the New Development Bank (NDB), said the loan agreement was signed during NDB’s 9th Annual Meeting, to enhance the efficiency and capacity of South Africa’s freight rail systems. This includes the network infrastructure renewal, locomotive overhauls, and wagon fleet renewal.
Michelle Phillips, Transnet Group Chief Executive, said “this investment is important for Transnet, as we accelerate implementation of the Recovery Plan and economic reforms. The modernisation programme will enhance our operational capabilities and contribution to the
growth and competitiveness of the economy. We are grateful for NDB’s support and look forward to a successful collaboration.”
The NDB was created in 2015, by BRICS countries then, Brazil, Russia, India and South Africa.