Egypt: loans to shift more freight to rail
The World Bank is providing two loans to help the Egyptian National Railways (ENR) to reduce the environmental impacts of transport.
Specifically, USD 440 million have been earmarked to support quality improvements along the Alexandria-Cairo-Nag Hammadi railway corridor, while another USD 400 million project will address rail logistics.
Trucks still move 98% of Egypt’s freight, railways only about 1.9%. Part of the reason is that only three freight trains per direction per day can travel between Alexandria’s seaport and the dry port outside Cairo.
Capacity constraints on rail, roads, and the Nile River weaken the links between ports, cities, and industrial zones. Furthermore, a lack of targeted regulations gives road transport an unfair economic advantage over rail. (ben)