Russia targets 4 African nations for railway expansion
As Moscow deepens its economic footprint across Africa, Russian Railways is setting its sights on four key countries poised to become hubs in a new era of transcontinental connectivity.
Russian Railways (RZD) is targeting four African countries—Burkina Faso, Ghana, South Africa, and Libya—for infrastructure projects.
This initiative is part of Russia's strategy to enhance trade routes and strengthen geopolitical ties through railway modernization.
African markets are viewed as pivotal for transporting bulk goods such as minerals, oil, and gas, essential for economic growth.
With strategic investments in rail infrastructure, Russia aims to bolster trade routes, enhance regional integration, and cement its influence on the continent.
Sputnik Afrika reports that Russian Railways (RZD) is expanding its presence in Africa by focusing on railway construction and modernization.
Aligning with Moscow's broader geopolitical goals, RZD targets key transport corridors and partners with countries like Burkina Faso, Ghana, South Africa, and Libya to develop regional rail networks for improved movement of goods and people.
Speaking at an expanded meeting of the expert council for the development and support of comprehensive partnership with African countries in the State Duma, RZD First Deputy CEO Sergei Pavlov highlighted the promising relationships Russia has built across the continent in recent years.
"Given the potential of developing trade with [African] countries, we see prospects for the further development and extension of the North–South International Transport Corridor in the direction of Africa with the creation of the appropriate transport infrastructure."
"We are prepared to actively get involved in this work with interested Russian operators and logistics companies," Pavlov said.
These planned expansions reflect not only Russia's infrastructure ambitions but also its broader geopolitical pivot toward Africa, as global alliances continue to evolve.
Russia's railway interests in Africa
The development of transport and logistics partnerships between Russia and African countries is gaining significance in the current geopolitical landscape.
Market players believe Russian goods can be successfully exported to Africa via the North-South international transport corridor (ITC), which would increase the cargo base of all three routes passing through this corridor.
Russian railway companies see Africa as a key growth area, driven by the continent's need for modern rail infrastructure to transport bulk goods like minerals, oil, and gas.
Last year, Kiril Lipa, CEO of Russian railway corporation Transmashholding (TMH), highlighted that Africa's limited rail systems in major cities impede economic growth, emphasizing that expanding railways is crucial to unlocking the continent's potential.
A key aspect of RZD's strategy is extending the International North-South Transport Corridor (INSTC) into Africa, a multi-modal trade route initially connecting Russia to India via Iran.
This extension would facilitate direct trade links between Russia and African markets, offering African countries new access points to Eurasian and Asian trade networks. According to Sergey Pavlov, a senior RZD executive, this expansion is a logical next step.
The company is confident that using Persian Gulf ports to deliver goods to North and East Africa can be successful, pending integration of port infrastructure and dry ports with Africa's road and rail networks.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CNBC
16 minutes ago
- CNBC
Russia's ruble rockets: The curious case of the world's best-performing currency this year
In the midst of a long-drawn war, declining oil prices, stiff sanctions, and an economy that's on the downhill, Russia's ruble has been rising. In fact, it is the world's best-performing currency so far this year, according to Bank of America, with gains of over 40%. The ruble's stunning rally in 2025 marks a sharp reversal from the past two years when the currency had depreciated dramatically. What's powering the Russian currency? The strength in the ruble has less to do with a sudden jump in foreign investors' confidence than with capital controls and policy tightening, market watchers told CNBC. The weakness in the dollar comes as an added bonus. Brendan McKenna, international economist and foreign exchange strategist at Wells Fargo, lists three reasons for the ruble's rally. "The central bank has opted to keep rates relatively elevated, capital controls and other FX restrictions have tightened a bit, and [there's been] some progress or attempt at progress in finding a peace between Russia and Ukraine." Russia's central bank has maintained a restrictive stance to curtail high inflation, keeping domestic interest rates high at 21% and tightening credit. The steep borrowing costs are deterring local businesses from importing goods, in turn reducing demand for foreign currency among Russian businesses and consumers, said industry watchers. There's been a decline in foreign currency demand from local importers, given weak consumption and the adequate supply of ruble, said Andrei Melaschenko, an economist at Renaissance Capital. That decline has given the ruble a boost as banks don't need to sell rubles to buy the dollar or yuan. Russian exporters need to be paid in rubles, or at least convert dollar payment into rubles, thereby increasing demand. Importers, on the other hand, have stopped purchasing foreign goods, and so do not need to sell rubles to pay in dollars. In the first quarter of 2025, there was an "overstocking" in consumer electronics, cars and trucks which were actively imported in the second half of last year in anticipation of the increase in import duties, said the Moscow-based economist. The consumer activity cooldown was primarily in the durable goods sector, which made up a sizable portion of Russia's imports, Melaschenko said. Another key reason the Russian ruble has strengthened this year is that Russian exporters, in particular the oil industry, have been converting foreign earnings back into rubles, analysts said. The Russian government requires large exporters to bring a portion of their foreign earnings back into the country and exchange them for rubles on the local market, according to the government. Between January and April, the sales of foreign currencies by the largest exporters in Russia totaled $42.5 billion, data from CBR showed. This is almost a 6% jump compared to the four months before January. CBR shrinking money supply is also supporting ruble, said Steve Hanke, professor of applied economics at Johns Hopkins University. In August 2023, the rate of growth in the money created by the CBR was soaring at 23.9% per year, he said. This figure has turned negative since January — currently contracting at a rate of -1.19% per year, said Hanke. Further, hopes for a peace deal between Ukraine and Russia following the election of U.S. President Donald Trump had also sparked some optimism, said Wells Fargo's McKenna. Expectations of Russia's reintegration into the economy had prompted some capital flows back into ruble-denominated assets, in spite of the capital controls, which have supported the currency's strength to some extent. Despite the ruble's current strength, analysts caution that it may not be sustainable. Oil prices—a major pillar of Russia's export economy — have fallen significantly this year, which could weigh on FX inflows. "We believe that the ruble is close to its maximum and may begin to weaken in the near future," Melaschenko said. "Oil prices have fallen significantly, which should be reflected in a decrease in export revenue and the sale of its foreign currency component," he added. While peace talks between Russia and Ukraine recently have not wielded any concrete developments, McKenna also noted that a concrete peace deal could erode ruble's strength as the controls such as the FX restrictions that have supported the currency might be lifted. "Ruble can selloff pretty rapidly going forward, especially if a peace or ceasefire is reached," he said. "In that scenario, capital controls probably get fully lifted and the central bank might cut rates rather quickly," he added. Exporters are also seeing slimmer margins, industry analysts noted, in particular the country's oil sector against the backdrop of declining global oil prices. The government, too, is feeling the squeeze — lower oil prices combined with a stronger ruble are eroding oil and gas revenues. The government's finances are highly sensitive to fluctuations in crude prices, with oil and gas earnings making up around 30% of federal revenues in 2024, according Heli Simola, senior economist at the Bank of Finland. "The Ministry of Finance has been forced to lean more heavily on the National Welfare Fund to cover spending," Melaschenko said. "And there may be further cuts to non-priority expenditures if this trend continues." That said, aside from the oil trade, Russia has been mostly isolated from the global marketplace. "Meaning, a weaker RUB does not add much to Russia's trade competitiveness," said McKenna.
Chicago Tribune
30 minutes ago
- Chicago Tribune
Letters: Ukraine is using the weapons of the future
Most wars are started on the basis of the previous war and then upgraded during the next war. Today we are spending hundreds of billions on weapons that are ready to fight the last war against countries that were using weapons from their previous war. Fancy jets and ships are going to be worthless. The war in the Ukraine is a great example of today's technology. The Ukrainians have damaged or destroyed most of the Russian Black Sea Fleet while they were at sea or tied to a dock. They hit air bases, warehouses, troop concentrations and refineries with their drones. Smaller drones have destroyed armored personnel carriers, trucks and tanks. Even smaller ones are being used to kill soldiers at the front. All of that was done without putting a soldier in danger. Most of the drones are GPS controlled. Some are by controllers using drone videos with some now using AI. Russia is a second rate military and was caught cold on their invasion of Kyiv by drones, which have advanced faster than their defenses have been able to counter. A recent '60 Minutes' episode had an item about drones from an American company designing AI drones for our military. They range from small to the size of jet aircraft. Imagine an aircraft carrier group besieged by a thousand drones in the Persian Gulf or Arabian Sea. The entire fleet could be damaged or sunk. Imagine a cargo ship sailing into the Chesapeake Bay and launching hundred of drones at Washington D.C. and the Norfolk naval base. Imagine a dozen more ships scattered around the country using longer range drones. Most of our non-nuclear forces would be decimated. That could be tomorrow!While it is highly debatable that Larry Hoover should have his sentences commuted one thing that we need to focus on is why. While Mr. Hoover may not have been directly linked to anyone's murder, it is safe to assume that due to the nature of being a gang leader he may have ordered murders and probably influenced a lot of his members to commit heinous crimes as well. But as some are celebrating the move by President Donald Trump (hopefully not many), I am of the opinion that Trump is trying to sneak one past us. He has ordered the closing of the Job Corps: a program designed to tackle youth unemployment that has been in existence since 1964. Countless youth were able to take advantage of this program which probably kept them from the tentacles of street gang life. While Trump may seek the approval of some in the African- American community, hopefully they don't ignore the disastrous effects closing a program like Job Corps can readers must be familiar with the Broken Windows Theory of policing, introduced by James Q. Wilson and George L. Kelling in 1982, that suggested that unchecked small offenses like broken windows, graffiti, and litter lead to greater crimes and societal breakdown. Donald Trump and his posse are throwing as many rocks as they can as fast as they can at the windows of our republic, collaterally damaging the rule of law, trust, civility and other civilizational essentials in the process. They cannot operate to their own best advantage in a healthy democracy and legal system, so they are trying to undermine it by accustoming citizens to broken political and legal windows. Trump's ideal environment is one in which there is so much corruption and illegality that he can ask, 'Whaddya looking at me for?' It is working. Several prominent people (Anne Applebaum, Maria Ressa and Gary Kasparov) who are either scholars of authoritarianism or have been dissidents in nations ruled by authoritarians have expressed surprise, not at what Trump is doing, but at the speed with which his project to dismantle our republic is progressing. He has not matched Adolf Hitler's legal neutering of Germany's republic in only 53 days after taking power, but this is hardly a reassuring thought. I continue to be puzzled by the disinterest with which many people respond to what is happening. The scholars and dissidents whom I cited agree that we do not have as much time to turn back the threat to our nation as many people seem to think that we have. The hope that things will simply self-correct is a fading one. Our leverage diminishes daily. Those who are working at changing our system to one that they can control and profit from and use to inflict damage on the officially unfavored are counting on our apathy. We should, at least, be openly discussing what is happening. The usual rule about about avoiding the subject of politics should be suspended for as long as the threat lasts.I find it interesting that when the Democrats, under Joe Biden and his minions, literally threw money at anything that moved, very few Democrat voiced any criticism. I mean, what is a few trillion dollars here and there? Now that Republicans try to find a way to undo the massive deficits, Democrats are screaming about Republicans trying to cut the deficit, and complain bitterly about the GOP adding to it. Such short to Ashley Nunes' June 2 article 'Outrage over Trump's EV policies misplaced,' Mr. Nunes' essay clumsily dances around the paramount need for electric vehicles — the Earth is too hot and getting hotter. The devastation caused by climate change — wildfires, floods, excessive heat, more numerous and catastrophic storms — is wreaking havoc on the planet. According to the EPA, 29% of greenhouse gas emissions are from cars, trucks, buses, etc. Transportation electrification would contribute mightily to the abeyance and cessation of these current and future disasters, saving untold property and lives. Mr. Nunes' dubious arguments belie the cataclysm facing the world.
USA Today
an hour ago
- USA Today
'Elon is going to get decimated:' How Trump's feud with the world's richest man might end
'Elon is going to get decimated:' How Trump's feud with the world's richest man might end Show Caption Hide Caption President Trump gives his thoughts on Elon Musk amid clash on bill President Donald Trump responded to Elon Musk's criticism of his "big, beautiful bill" with disappointment as Musk responded on X. WASHINGTON — If history is any guide, and there is a lot of history, the explosive new falling out between President Donald Trump and Elon Musk is not going to end well for the former White House advisor and world's richest man. The political battlefield is littered with the scorched remains of some of Trump's previous allies who picked a fight with him or were on the receiving end of one. Lawyer Michael Cohen. Political advisor Steve Bannon. Attorney General Jeff Sessions, Defense Secretary James Mattis and Secretary of State Rex Tillerson. John Bolton, John Kelly and Chris Christie, to name just a few. 'If what happened to me is any indication of how they handle these matters, then Elon is going to get decimated,' said Cohen, the former long-term Trump lawyer and fixer who once said he'd 'take a bullet' for his boss. Musk, he said, "just doesn't understand how to fight this type of political guerilla warfare." 'They're going to take his money, they're going to shutter his businesses and they're going to either incarcerate or deport him,' Cohen said of what he thinks Musk will suffer at the hands of Trump and his administration. 'He's probably got the White House working overtime already, as we speak, figuring out how to close his whole damn thing down.' Cohen had perhaps the most spectacular blow up, until now, with Trump. He served time in prison after Trump threw him under the bus by denying any knowledge of pre-election payments Cohen made to a porn actress to keep her alleged tryst with Trump quiet before the 2016 election. More: President Trump threatens Elon Musk's billions in government contracts as alliance craters Cohen felt so betrayed by Trump that he titled his memoir 'Disloyal,' but the Trump administration tried to block its publication. Cohen ultimately fought back, becoming a star witness for the government in the state 'hush money' case and helped get Trump convicted by a Manhattan jury. Some suffered similar legal attacks and other slings and arrows, including Trump taunts and his trademark nasty nicknames. Trump vilified others, casting them into the political wilderness with his MAGA base. When Sessions recused himself from the Justice Department's investigation of Russian meddling in the 2016 election, Trump savaged him, calling his appointment a 'mistake' and lobbing other epithets. Sessions resigned under pressure in 2018. When he tried to resurrect his political career by running for his old Senate seat in Alabama, Trump endorsed his opponent, who won the GOP primary. After firing Tillerson, Trump called the former ExxonMobil chief lazy and 'dumb as a rock.' Trump still taunts Christie, an early supporter and 2016 transition chief, especially about his weight. Trump also had a falling out with Bannon, who was instrumental in delivering his presidential victory in 2016 and then joined the White House as special advisor. 'Steve Bannon has nothing to do with me or my Presidency,' Trump said in 2018, a year after Bannon's ouster from the White House. 'When he was fired, he not only lost his job, he lost his mind.' Trump's Justice Department even indicted Bannon in 2020 for fraud, though the President pardoned him before leaving office. One of Trump's biggest feuds was with Bolton, whom he fired as his national security advisor in 2019. Trump used every means possible to prevent his book, 'The Room Where it Happened,' from being published, Bolton told USA TODAY on Thursday. That included having the U.S. government sue his publisher on the false premise that Bolton violated a nondisclosure agreement and was leaking classified information, Bolton said. Bolton said Musk is unlike most others who have crossed swords with Trump in that he has unlimited amounts of money and control of a powerful social media platform in X to help shape the narrative. Musk also has billions in government contracts that even a vindictive Trump will have a hard time killing, as he threatened to do on Thursday, without significant legal challenges. Even so, Bolton said, "It's going to end up like most mud fights do, with both of them worse off. The question is how much worse the country is going to be off."
