Share the page

SETRAG II: Upgrading Gabon’s rail network to open up interior regions

Project

Networks and infrastructures
Signature date
Location
Gabon
Financing tool
Loan
Financing amount (Euro)
44700000
Financing details
EUR 44.7m loan
Customer
SOCIETE D'EXPLOITATION DU TRANSGABONAIS
Type of customer
Company
Country of headquarters
Gabon
Project number
PGA1074
Environmental and social ranking
A
Download the report

This information is given at the time of signature, without prejudice to any developments in the operation/project.

Proparco has allocated a loan to the Transgabonais Operating Company (SETRAG) to upgrade its infrastructure, cope with the expected increase in traffic and provide Gabon with a renovated and reliable communication route between Libreville and the interior of the country.

Client presentation

The Transgabonais Operating Company (SETRAG) has been managing Gabon’s rail network since June 2003. It comprises 814 km of railway tracks, including 644 km on the main Libreville-Franceville route and 170 km of double tracks in stations and sidings. SETRAG’s activity involves transporting passengers and freight. The Transgabonais crosses five of the nine provinces in Gabon. It is an essential tool for trade and territorial cohesion. It also opens up interior regions.   

Project description

The project aims to reduce operating costs, improve the reliability and availability of transport, provide equal access to all users and restore the capacity of the track to its initial level (16 paths) to absorb the expected increase in traffic. The overall objective is to provide Gabon with a renovated and reliable communication route between the capital, Libreville, and the interior of the country. The new credit line will finance the rehabilitation of infrastructure between Owendo and Lopé, increase the E&S budget, strengthen the safety of tracks and rehabilitate the training center in Franceville.

Project impact

The project should have significant impacts on the economic and social development of Gabon:

  • On the economic front, the project to upgrade the Transgabonais should reduce the direct operating costs of the railway. It should also boost national economic growth through shared and improved infrastructure;
  • On the social front, the project should develop a more reliable range of transport services with improved safety for the 324,000 passengers a year. It should also support some 1,300 direct and indirect jobs over the next 5 years.

The project will thereby contribute to SDGs n° 8 (Decent work and economic growth) and 9 (Industry, innovation and infrastructure). 

SETRAG 2016

SETRAG 2016