As transport becomes the backbone of import and export flows, East Africa is accelerating its railway transformation in 2026 with a massive $10.04 billion investment. Led by Tanzania and supported by the African Development Bank (AfDB), the development of the Standard Gauge Railway (SGR) is reshaping the Central Corridor by linking the strategic port of Dar es Salaam to the landlocked economies of Uganda, Rwanda, Burundi and the Democratic Republic of Congo. By cutting logistics costs by up to 40% and reducing transit times from 20 days to less than 30 hours, these multimodal networks are emerging as a key driver of regional integration and improved access to the hinterland.
In East Africa, a major transformation of regional logistics is taking shape on the railways. Tanzania is relying on the SGR, its Standard Gauge Railway, to transform the Central Corridor into a major regional trade artery. The $10.04 billion project is designed to connect the port of Dar es Salaam, which handled a record 33.7 million tonnes of cargo in 2025/2026, to markets in Uganda, Rwanda, Burundi and the DRC. Ultimately, the 2,561-kilometre rail network is expected to reduce transport costs by between 20% and 40% while significantly shortening delivery times.
“The Central Corridor is a corridor management institution made up of seven countries. We were established in 2006, and our headquarters are based in Dar es Salaam. The Central Corridor is unique because it operates across three regional economic blocs: the East African Community, SADC and COMESA. We operate across these areas, working with countries that sit at the intersection of these three blocs.”
Flory Okandju Okonge, Executive Secretary of CCTTFA – Democratic Republic of Congo
Behind this strategy lies one key objective: bringing the Indian Ocean closer to the hinterland. On some routes, transit times could fall from 20 days to less than 30 hours, while easing pressure on congested roads. On July 20, 2026, President Samia Suluhu Hassan launched construction of the Tabora–Kigoma section: 506 kilometres at a cost of $2.2 billion. The strategic link is expected to extend the railway to the shores of Lake Tanganyika and strengthen trade with Burundi and the DRC.
“As I said, we are unique as a region because, in our region, you have three railway systems. You have the metre gauge, the Cape gauge and the SGR. The new railway system on the Central Corridor is the Standard Gauge Railway, or SGR. It connects Tanzania and Burundi to Kindu in the DRC. We also have the MGR, which connects Dar es Salaam and Kigoma to Mwanza.”
Flory Okandju Okonge, Executive Secretary of CCTTFA – Democratic Republic of Congo
Another piece of the puzzle is the connection with Uganda. On March 13, 2026, Kampala and Dodoma signed a memorandum of understanding for a cross-border railway link of more than 600 kilometres, running from Isaka to Mpondwe, near the Congolese border. Supported by the African Development Bank, the project is intended to provide Ugandan freight with more direct access to the port of Dar es Salaam, as bilateral trade reaches $2.23 billion.
“We also have TAZARA, which is operational. We have the Cape gauge, the metre gauge and the SGR. But at the same time, that is why I said yesterday that innovation should help us move freight along the corridor.”
Flory Okandju Okonge, Executive Secretary of CCTTFA – Democratic Republic of Congo
For landlocked economies in East Africa, the challenge therefore goes beyond simply building railway lines. It is about securing supply chains and expanding access to global markets. The Central Corridor Transit Transport Facilitation Agency (CCTTFA) is therefore focusing on integrating railways, roads and inland waterways. This interconnected network is expected to reshape the region’s trade corridors and, over the long term, strengthen the economic integration of East Africa’s hinterland.
