The Egyptian Railway Authority will sign a contract within days with the Spanish company Taglo to manufacture six new air-conditioned trains, Egypt Today has reported.
The source added that the cost of the six trains amounts to €126 Million ($142.5 Million), pointing out that the European Bank for Reconstructions and Development will finance the agreement as a soft loan.
He also said that these trains will be supplied within 18 months from the date of signing the contract.
Egypt is seeking to upgrade the infrastructure of railways; hence, the government has stepped up several railway investments to improve its safety and implement its plans of developing new tracks; the ERA will purchase 1,300 rail carriages.
As a part of the efforts exerted to improve railway in Egypt, Egyptian Railway Authority (ERA) issued an international tender in November to choose the company that will manufacture and supply 1,300 rail carriages. This will support and develop both passengers and goods transportation.
Around 12 international companies were invited to this tender, as seven companies submitted their offers before December 20. Offers were made in the tender by companies from Russia, Hungary, China, Italy and Spain to manufacture and provide the carriages. The carriages should be delivered 40 months after signing the contract.
In August 2017, Egypt signed a $575 million agreement with American company General Electric Co to provide 100 new multi-use locomotives, 15 year technical support and spare parts, and to maintain and upgrade 81 trains bought by Egyptian railways in 2008 as part of the plan to use railways to transport 25 million goods by 2022.