Total Project Cost
Investment Required
Stakeholders
Countries
Project Overview
Description
Comprehensive rehabilitation and modernization of the railway corridor connecting Morocco, Algeria, and Tunisia along the Mediterranean coast, creating an efficient and integrated rail transport system to enhance regional connectivity, facilitate trade, and support economic integration in the Maghreb region.
Objectives
Rehabilitate and modernize existing railway infrastructure along the Trans-Maghreb corridor to enhance regional connectivity; standardize technical specifications and interoperability across national railway networks; improve border crossing procedures for rail transport; enhance operational efficiency and service quality; reduce travel times for passengers and freight; facilitate modal shift from road to more efficient and environmentally friendly rail transport; support implementation of regional trade agreements; strengthen economic integration in the Maghreb region; and create employment opportunities in construction, operations, and maintenance.
Strategic Importance
The Trans-Maghreb Railway represents a historic transport corridor connecting North African countries, but fragmentation, technical disparities, and infrastructure degradation have limited its effectiveness. This rehabilitation project will revitalize the railway as a backbone of regional connectivity, providing efficient, sustainable transportation along the Mediterranean coastal corridor where the majority of the region's population and economic activity is concentrated. By creating a continuous, efficient railway system across national boundaries, the project directly supports the Arab Maghreb Union's integration agenda and facilitates implementation of regional trade agreements. The railway further enhances the region's connectivity with Europe through maritime links and potential future fixed links across the Mediterranean, positioning North Africa as a strategic logistics hub between Europe, Africa, and the Middle East. Environmental benefits include significant emissions reduction through modal shift from road to rail transport.
Technical Specifications
Technology & Design
The project will focus on rehabilitating and modernizing existing infrastructure rather than new construction, with standardization of technical specifications to ensure interoperability across national networks. Key components include track rehabilitation, signaling and communications upgrades, station modernization, rolling stock renewal, and enhanced border crossing facilities for rail transport.
Capacity & Size
The Trans-Maghreb Railway extends approximately 2,300 km from Casablanca (Morocco) to Tunis (Tunisia), with potential future extension to Tripoli (Libya): Morocco section: 800 km; Algeria section: 1,200 km; Tunisia section: 300 km. Design capacity includes freight operations of up to 8 million tons annually and passenger capacity of 15 million journeys per year.
Technical Details
Track rehabilitation to standard gauge (1,435mm) with consistent specifications across countries; Signaling and communications systems modernization with interoperability across borders; Electrification of high-traffic sections where economically justified; Station rehabilitation and modernization with improved passenger facilities; Enhanced border crossing facilities for rail transport; Modern rolling stock for passenger and freight services; Digital systems for ticketing, freight management, and passenger information
Development, Implementation & Financial Details
Development Timeline
Project definition and preliminary studies (2023-2025); Detailed feasibility and design studies (2025-2027); Harmonization of standards and procedures (2025-2028); Phased implementation by country and segment (2027-2035)
Latest Implementation Updates
UPDATED2025-06-10 — Morocco: World Bank backs $350m program to modernise Casablanca rail logistics (track, electrics, signalling), alleviating bottlenecks on the Maghreb corridor. Link: https://www.moroccoworldnews.com/2025/06/211045/world-bank-backs-350-million-project-to-transform-casablancas-rail-logistics-network/
2025-08-20 — KfW approves ~USD 225m financing to ONCF for rail modernisation, supporting corridor interoperability upgrades. Link: https://globalmasstransit.net/kfw-to-fund-casablanca-rail-modernisation-project-morocco-2/
Financing Structure
The project will employ a blended financing approach with: multilateral development bank financing (AfDB, Islamic Development Bank, World Bank); bilateral development finance from European partners (EU facilities, EIB, national development agencies); national budget allocations from participating countries; and potential for PPP arrangements for operations and specific station/facility development. Technical assistance grants will support harmonization of standards and procedures.
Capital Structure
Infrastructure rehabilitation and modernization (85%): Public financing through sovereign loans and grants; Operations and commercial components (15%): Potential for private sector participation through management contracts and concessions
Project Timeline
Start Date
June 2023
Expected Completion
December 2035
Development Timeline
Project definition and preliminary studies (2023-2025); Detailed feasibility and design studies (2025-2027); Harmonization of standards and procedures (2025-2028); Phased implementation by country and segment (2027-2035)
Project Status History
Status 2020
Feasibility
Status 2022
Project Definition
Status 2024
Project Definition
Additional Project Details
Preparation Funding Gap
USD 35.00M
Construction Timeline
Morocco sections: 2027-2031; Algeria sections: 2028-2033; Tunisia sections: 2029-2035
Legal & Financial Advisors
Egis Rail providing initial technical advisory services; legal and financial advisory services pending appointment
Market Analysis
Market Analysis
Current rail traffic on the fragmented Trans-Maghreb Railway is significantly below potential, with modal share for cross-border freight below 5% despite the corridor connecting major population and economic centers. Market analysis indicates potential for 5 million tons of freight annually with modernized infrastructure and operations, with passenger traffic potential of 12 million annually for both domestic and cross-border journeys.
Market Demand
The rehabilitated and modernized railway will have capacity for 8 million tons of freight annually and 15 million passengers, with design allowing for future capacity expansion. The corridor will serve the majority of the Maghreb population, with approximately 70% of the region's economic activity located within the railway's catchment area.
Key Stakeholders
Project Sponsor
Arab Maghreb Union Secretariat with national implementation units in railway companies
Key Parties
Arab Maghreb Union Secretariat, National Railway Companies of Morocco (ONCF), Algeria (SNTF), and Tunisia (SNCFT), Transport Ministries
Investors
African Development Bank, Islamic Development Bank, World Bank, European Investment Bank, Arab Fund for Economic and Social Development
Contractors & Operators
To be determined through international competitive bidding for infrastructure components and PPP tenders for operations
Risk Assessment
General Risk Assessment
Key risks include: political factors affecting cross-border cooperation; varying states of existing infrastructure requiring differentiated approaches; coordination challenges across multiple agencies and countries; security considerations in certain regions; and commercial viability challenges during transition to improved services. Risk mitigation strategies include phased implementation prioritizing high-impact sections, comprehensive stakeholder engagement, and robust governance frameworks.
Regulatory Risks
Requires harmonization of railway regulations, technical standards, safety protocols, and border procedures across three countries with different systems. Regulatory issues include standardization of operating procedures, interoperability requirements, mutual recognition of certifications, and coordinated timetabling and capacity allocation.
Impact Assessment
Environmental Impact
The project will generate significant environmental benefits through modal shift from road to more energy-efficient rail transport, with estimated CO2 emissions reduction of 30-40% compared to equivalent road transport. Environmental considerations during rehabilitation include management of construction waste, protection of sensitive areas along the corridor, noise mitigation in urban sections, and climate resilience measures for coastal infrastructure vulnerable to sea-level rise.
Social Impact
The railway modernization is expected to generate approximately 25,000 direct jobs during the rehabilitation phase and 5,000 permanent jobs in operations and maintenance. Socioeconomic benefits include enhanced mobility for populations along the corridor, improved access to employment and educational opportunities, strengthened cultural and commercial ties across countries, revitalization of areas around rehabilitated stations, and enhanced tourism potential through improved passenger services.
Investment Opportunities
Private Sector Opportunities
Private sector opportunities include: railway operations through management contracts or concessions; rolling stock procurement, maintenance, and leasing; station commercial development; logistics facilities at key intermodal nodes; maintenance services for infrastructure and equipment; and digital systems for ticketing, freight management, and passenger information.
Next Steps & Agreements
Next Steps
Complete comprehensive project definition studies; secure funding for detailed feasibility studies; establish regional coordination mechanism; develop harmonized technical standards and regulatory framework; initiate stakeholder consultations; advance preparations on priority sections with greatest rehabilitation needs
Offtake Agreements
Inter-governmental agreements between the participating countries will establish operational frameworks, technical standards, border crossing procedures, and maintenance responsibilities. Regional coordination through the Arab Maghreb Union will provide oversight and harmonization mechanisms.
Contact Information
Dr. Taieb Baccouche, Secretary General, Arab Maghreb Union, Email: sg@maghrebarabe.org; Directors General of National Railway Companies: ONCF (Morocco), SNTF (Algeria), SNCFT (Tunisia)
