Summary of Proposed Investment
Project Number
31102
Company Name
RVR INVESTMENTS (PTY) LIMITED
Date SPI Disclosed
May 27, 2011
Country
Eastern Africa Region
Industry
Infrastructure
Projected Board Date
Jul 28, 2011
Status
Active
Sector
Rail Transportation
Department
Regional Industry - INF Africa
Environmental Category
A - Significant
Previous Events
Approved : Jul 30, 2012
Signed : Sep 9, 2011
Invested : Sep 28, 2011
Project Description
The Project would invest in Africa Railways Limited (“ARL”), a holding company established to hold a controlling stake in Rift Valley Railways (“RVR”). RVR is the operator of the Kenya-Uganda railway line which was privatized under two substantially identical 25-year concessions in 2006. IFC’s Corporate Advisory Services acted as a financial advisor to the Government of Kenya for the 2006 privatization and, at that time, IFC made available an A Loan of $22 million and C Loan of $10 million (project #24766). Given the long distances involved (530 km from Mombasa to Nairobi and 803 km from there to Kampala), this should have a significant cost advantage over trucks. However, following decades of under-investment the network is in poor condition. The Project is part of a larger restructuring and investment program to put the railway back onto a sustainable footing with the goal of increasing cargo volumes from about 1.6 million tons currently to over 5.0 million tons by 2020.
Sponsor / Cost / Location
Development Impact
Related ESRS/ERS
Contacts
For Inquiries About the Project, Contact
Mr. Paul Kabaale
General Manager (SHREQ)
Rift Valley Railways
RVR Head Office
Haile Selassie Avenue
PO Box 62502-00100
Nairobi, Kenya
Telephone: +25 4 20 2044476
Paul.kabaale@rvr.co.ke
For Inquiries and Comments About IFC, Contact
General IFC Inquiries
IFC Corporate Relations
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384E Mail: Webmaster
Local Access of Project Documentation
For Kenya:
Mr. Paul Kabaale
General Manager (SHREQ)
Rift Valley Railways (Kenya) Ltd and Rift Valley Railways (U) Ltd,
Rift Valley Head Office,
Haile Selassie Avenue
P O Box 62502 00200
Nairobi, Kenya.
Telephone: +254 20 2044476, Fax: +254 20 2243757
Email: paul.kabaale@rvr.co.ke
For Uganda:
Mr. Paul Kabaale
General Manager (SHREQ)
Rift Valley Railways (U) Ltd,
Plot No. 53, Nasser Road/Station Road/Station Reserve
P O Box 7891
Kampala, Uganda.
Telephone: +256 312 265202 (Project Office), Fax: +256 414 341 234
Email: paul.kabaale@rvr.co.ke