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THE National Railways of Zimbabwe is a strategic national institution whose revival is critical for Zimbabwe’s economic transformation and regional integration, newly-appointed board chairman Dr Misheck Sibanda has declared.
Dr Sibanda, a former Chief Secretary to the President and Cabinet, was appointed with effect from September 1, taking over from Advocate Mike Madiro.
He was formally introduced to the NRZ board and directors on August 27 by Mutapa Investment Fund chief executive officer, Dr John Mangudya, during a special board meeting in Harare.
Yesterday, he was officially introduced to the media in Bulawayo before engaging management in a closed-door meeting.
Dr Sibanda said he was stepping into the role with determination to ensure the parastatal regains its place as a backbone of national development.
“I feel honoured to serve as chairman of such a unique organisation as NRZ,” said Dr Sibanda.
“Our President (Mnangagwa) has long recognised that NRZ is not delivering what it should to the economy. He has directed that its resuscitation be accelerated, and I am committed to ensuring this institution becomes once again a driver of our national growth.”
He vowed to lead with focus and teamwork.
“I am determined that we will achieve what we set out to do. We will work as a united team and leave a legacy of excellence. Our leadership, especially the President, is determined to leave a legacy of development, and NRZ will be central to that.”
This week in China, President Mnangagwa held talks with China Railway International Group (CRIG) centred on a US$600 million package earmarked for NRZ revival.
For decades, Zimbabwe’s rail system has been crippled by aged equipment, frequent breakdowns and limited capacity, forcing overreliance on road transport.
The result has been higher logistics costs and extensive damage to national highways as bulk goods, particularly mining ore, are moved by heavy trucks.
A comprehensive overhaul will ease transport costs, enhance efficiency for industries such as mining, agriculture and manufacturing, and position Zimbabwe as a competitive regional trade hub under the African Continental Free Trade Area framework.
While NRZ’s design capacity is around 18 million tonnes annually, its operational capacity significantly declined over time, plummeting to just 3,4 million tonnes by 2017.
CRIG, a subsidiary of the Fortune 500-listed China Railway Group Limited, is expected to play a key role in the revival programme.
Dr Sibanda said NRZ must reclaim its position as a continental rail transportation leader.
“We have the brains locally, and we have the expertise in the diaspora, many of whom are eager to come back and contribute. With such talent and commitment, there is no reason NRZ cannot lead in Africa.”
Dr Sibanda revealed that he had thought his time in public service was over and had begun writing his memoirs before being called to national duty once again.
“The feeling was, why don’t I have my time? I thought I had left the Government after working for so many years. I was starting to write my books, but I was told, ‘You can write later, go and help,” he said.
Calling for unity, he added, “Let’s work in unity as a team to bring NRZ back to where it should be. The team is composed of very knowledgeable people and this will be shown very soon.”
Dr Sibanda also expressed appreciation for the support of President Mnangagwa and Dr Mangudya, head of the Mutapa Investment Fund, in the revival efforts.
“I feel so privileged to participate and work with the President and our former head of the financial sector, Dr John Mangudya, who now heads Mutapa Investments,” he said.
He further acknowledged the role of the media in highlighting the NRZ’s journey, urging for continued cooperation.
NRZ, under the Mutapa Investment Fund, is central to the attainment of Vision 2030 of transforming Zimbabwe into an empowered upper-middle-income economy.
In recent years, the company has embarked on stabilisation measures to “prevent the ship from sinking”, while pursuing recapitalisation, re-organisation and transformation to make it the “modern and efficient transporter of choice” for both bulk freight and passengers.
As part of its 2020–2030 strategic plan, NRZ adopted a phased approach to turn around operations across short, medium and long-term horizons.
In June 2023, NRZ signed a contract with RITES of India for the supply of 10 locomotives and 315 wagons. Implementation began in earnest, with trains under the agreement entering service on April 26 this year, following the formal signing of the facility on March 13.
The recapitalisation is expected to significantly improve service delivery, ensuring reliable wagon supply, reducing breakdown-related delays and improving freight predictability. This will lower transport costs, boost export competitiveness and enhance Zimbabwe’s ability to move goods seamlessly across borders.
At its peak, NRZ employed more than 20 000 people and remains one of the country’s largest transport and logistics employers.
Rehabilitation of key rail corridors is progressing, with the strategic Machipanda-Mutare line already completed and commissioned, while work on the Mutare-Harare section is ongoing.