Repositioning Zambia Railways as a catalyst for the ‘Grow Zambia Agenda’, by Kelvin Kamayoyo

Zambia’s geographical position as a land-linked country offers immense potential to become a regional commercial and logistics hub, noted Dr. Kelvin Kamayoyo, Researcher and International Economics Expert.

This article examines how Zambia can leverage railway development to drive economic growth, decongest urban roads, and enhance connectivity to seaports.

The argument draws on successful models from China’s Belt and Road Initiative, Ethiopia’s Addis Ababa-Djibouti Standard Gauge Railway, and Tanzania’s Standard Gauge Railway, to show how Zambia Railways can be repositioned as a critical enabler of the Grow Zambia Agenda through strategic investment, regulatory reform and knowledge enhancement.

The analysis is grounded in content analysis of secondary literature and lived experience theory, which values experiential knowledge of how communities in Mtendere, Kanyama, Matero, Chawama, Chilenje, Kabwata and Mandevu navigate costly and inefficient transport.

Methodologically, content analysis was used to review policy documents, railway project reports and financing models, while lived experience theory draws on the author’s observations of urban mobility challenges in Lusaka’s high-density settlements and stakeholder engagements in the transport sector.

Efficient railway systems are recognised globally as catalysts for industrialisation, trade facilitation and inclusive growth (World Bank, 2022). For landlocked and land-linked countries, railways provide a cost-efficient alternative to road transport and a vital link to international markets (Global Infrastructure Hub, 2023).

Zambia, despite having an existing railway backbone, has underutilised this asset, leading to over-reliance on road transport, rapid deterioration of roads, and high logistics costs. Lived experiences of commuters in Lusaka compounds show daily struggles with traffic congestion, high fares and time lost, which content analysis of UN-Habitat reports confirms as a pattern in rapidly urbanising African cities (UN-Habitat, 2020).

In terms of strategic geographical advantage, Zambia is uniquely positioned to serve as a regional transit corridor, bordered by eight countries (African Development Bank, 2023). Maximising this location requires robust railway connectivity to the oceans.

The southern route to Durban Port in South Africa via Zimbabwe remains vital for southern trade, the western route to Lobito Port in Angola via the Lobito Corridor offers Atlantic access for critical minerals export (White House, 2023), and the eastern route to Beira Port in Mozambique provides another strategic outlet.

This multi-corridor approach reduces dependency on a single route and positions Zambia to benefit from the African Continental Free Trade Area (AfCFTA) (UNCTAD, 2021).

Domestically, the railway network can be optimised for urban mobility. A revitalised commuter rail system would provide an affordable, safe and efficient mode of transport for the majority of citizens.

For this to happen, Zambia Railways should take keen interest in the national urban planning and cities development agenda so that the company can integrate the railway system in the development equation and offer affordable in-country transportation services.

Content analysis of urban planning literature shows that integration of land-use planning and transport is a core principle of sustainable urban development (UN-Habitat, 2020), and lived experience in Lusaka demonstrates that railway stations must be at the centre of new housing developments, industrial zones and markets, rather than as an afterthought.

The Chinese example demonstrates the Belt and Road model of transformative connectivity.

China’s principle that building the road is the first step towards prosperity has guided its investments in flagship railways such as the China-Laos Railway, the Jakarta-Bandung High-Speed Railway, and the Mombasa-Nairobi SGR (SCIO, 2023).

The China-Laos Railway, which is 1,035 km long, has recorded over 20.9 million passenger trips and 25.36 million tonnes of cargo since December 2021, transforming Laos from a landlocked to a land-linked economy (NDRC, 2023).

The model combines state-led capital investment, integration with industrial parks and dry ports, and technology transfer, which are lessons Zambia can adopt (World Bank, 2019).

Ethiopia provides the most relevant case for Zambia on cost efficiency. The Addis Ababa-Djibouti Railway is a 753 km electrified single-track standard gauge line between Addis Ababa and the Port of Djibouti, with 45 stations (Global Infrastructure Hub, 2023).

The line serves as the main transport corridor for Ethiopia to its gateway of the Port of Djibouti which handles over 90% of the country’s international trade (Global Infrastructure Hub, 2023).

Built at a cost of USD 5.1 billion by China Railway Group and China Civil Engineering Construction Corporation, it was opened for freight in October 2015 and became commercially operational on 1 January 2018 (Global Infrastructure Hub, 2023).

Content analysis of this project shows how law and regulation were used to compel 90% of import cargo to shift to rail.

Tanzania’s experience shows how modernising can turn a country into a trade gateway.

The Standard Gauge Railway is intended to replace the outdated metre-gauge system established during the colonial era (TRC, 2024).

The new electrified line will connect Dar es Salaam Port to key growth corridors in western Tanzania and neighbouring states (Standard Chartered, 2024).

The first phase of 300 km from Dar es Salaam to Morogoro was trialled in February 2024 and is capable of reaching speeds of up to 160 km per hour (TRC, 2024).

Passenger operations commenced in June and July 2024 with official inauguration in August 2024 (Daily News, 2024).

By November 2025, the railway had transported about 4.34 million passengers (Daily News, 2024).

Financing has been secured through a $2.33 billion syndicated facility arranged by Standard Chartered Bank (Reuters, 2024).

This brings us to how Zambia Railways can be repositioned for the Grow Zambia Agenda.

The company is critical in providing a cost-efficient alternative mode of transport in Zambia and what is needed is to address the demand side of its marketing strategy to become competitive and profitable going forward (African Development Bank, 2023).

This includes improving reliability, customer service, and intermodal integration.

Equally, the company needs to embark on knowledge enhancement in order to modernize the railway infrastructure and acquire advanced trains, as demonstrated by Ethiopia and Tanzania (Global Infrastructure Hub, 2023; TRC, 2024).

A central part of addressing the demand side is using laws and regulations to boost demand for railway for heavy cargo.

The key principle is modal shift, using law to make road expensive for heavy loads and rail attractive. This is what Ethiopia, Tanzania, China and South Africa have done, and content analysis of their regulatory frameworks confirms its effectiveness.

First, a Statutory Instrument on Maximum Loadable Weight on Roads.

The Minister of Transport and Logistics through the Road Traffic Act can issue a Statutory Instrument that limits any single truck carrying bulk commodities above 20 tonnes or 30 tonnes for copper, coal, cement, clinker, steel, grain and fertilizer to rail for distances above 300km.

This compels mining companies and cement companies to move 70% of their bulk by rail. In Ethiopia, such a rule forced 90% of import cargo to move by the Addis-Djibouti SGR (Global Infrastructure Hub, 2023).

Second, a Road Toll Differential and Levy System. The Tolls Act can be amended to introduce a Heavy Cargo Surcharge of 300% for trucks carrying designated bulk goods on the Great North Road and Copperbelt corridors.

Revenue from this surcharge would go to a Railway Development Fund managed by Zambia Railways. This model is used in China under the Belt and Road to make road transport of heavy cargo uneconomical (World Bank, 2019).

Third, Mandatory Rail Service Agreements for Large Mines and Industries. Through the Mines and Minerals Development Act and Industrial Licensing Regulations, Government can introduce a condition that all new large mining licences and industrial permits must have a signed Rail Offtake Agreement with Zambia Railways for at least 50% of output.

This creates guaranteed demand and allows Zambia Railways to plan rolling stock.

Fourth, Axle Load Enforcement and Road Damage Fee. Enforcement under the Public Roads Act should be strengthened to impose a Road Damage Fee of USD 500 per tonne for overloaded trucks above 56 tonnes gross. Use of weighbridges linked to RTSA system to automatically flag and fine would deter road use and push cargo to rail.

Fifth, Tax Incentives for Rail Users. Through ZRA and Income Tax Act, a 10% tax rebate on logistics costs can be provided for companies that move more than 50% of their cargo by rail. Tanzania used this positive incentive model to attract Dar es Salaam port users to the SGR (Reuters, 2024).

Sixth, Urban Planning and City Regulations. For instance, the Lusaka City Council and other municipalities through the Urban and Regional Planning Act could consider zoning areas along railway lines in Matero, Kanyama, Chawama, Mtendere, Kabwata, Chilenje, Mandevu as Transit-Oriented Development Zones.

All new large housing and industrial developments within 5km of a railway station should be required to be connected to rail siding, making rail part of city development (UN-Habitat, 2020).

Lived experience theory confirms that residents in these compounds would benefit most from such integration through lower fares and better access.

Arguably to achieve this transformation, Zambia Railways management should consider undertaking a study visit to Tanzania, Ethiopia and China within a month and then come back home and reflect on the local content strategy and skills transfer.

The most immediate legal win does not need a new Act of Parliament, only a Statutory Instrument from the Minister on weight limits and toll differentials.

This would decongest roads, save billions in road maintenance, create predictable revenue for Zambia Railways to buy advanced trains, and support the Grow Zambia Agenda by lowering transport costs by 30-40% for heavy cargo.

In conclusion, this article based on content analysis and lived experience theories has shown that Zambia has all the ingredients for a railway-led economic transformation.

Its strategic location linking to Durban, Lobito and Beira, growing demand in high-density urban settlements, and lessons from China, Ethiopia and Tanzania provide a clear blueprint.

What is required is deliberate policy action using laws and regulations to drive modal shift, investment in modern technology, integration of rail in national urban planning, and enforcement of regulations that make rail the preferred mode for heavy cargo.

The viability of Zambia Railways can play a critical role in the success of the Grow Zambia Agenda.

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