Investment in rail critical for Africa’s socio-economic growth

Hishaam Emeran, President of the Southern African Railways Association (SARA), has emphasized the significant role rail can play in driving economic growth and job creation across the African continent. Speaking at the Africa Rail 2024 Conference held at the Sandton Convention Centre, Emeran highlighted the need for ambitious programs to expand both passenger and freight rail systems within the Southern African Development Community (SADC). He underscored that such expansion is vital for the continent's socio-economic prosperity.

Emeran, who also serves as the Chief Executive Officer of the Passenger Rail Agency of South Africa (PRASA), stressed the importance of investing in modern rail infrastructure. He noted that improved rail systems could greatly enhance the efficiency of transporting goods and people. Given the heavy burden on Africa’s road networks, upgrading rail infrastructure is crucial to alleviating road congestion and reducing the associated economic and social costs.

In his address, Emeran acknowledged the progress being made in South Africa’s logistics sector, driven by initiatives from the Presidency. He called for a similar level of priority to be given to transport networks across the continent. He pointed out that the costs of failing rail systems and congested roads are far greater than the investment required to modernize railway networks. Additionally, he highlighted the importance of affordable, safe, and reliable public transport, with rail as its backbone, especially in light of the high unemployment rates across much of Africa.

The South African government, in response to logistics challenges, established the National Logistics Crisis Committee (NLCC) in 2023. Chaired by the Presidency, the committee includes all relevant government departments to ensure a coordinated response. The committee has made steady progress, including the approval of the Freight Logistics Roadmap by the Cabinet. This roadmap sets out urgent reforms needed in the freight logistics sector and includes the development of a Network Statement, which outlines the process for rail operators to access the network. A draft of this statement has been released for public comment, marking a significant step towards restoring efficiency and competitiveness in the industry.