Africa has been targeted as one of the continents that are lucrative in terms of investment lately. We have witnessed various Chinese business counterparts roll-out in incorporating with multiple countries in their growth and development projects through tenders.
Currently,the UN predicts that Beijing’s Primacy will lay a permanent foothold of about 40% of the world’s population by 2100. A number of upcoming railway projects are seen rising in Africa including; Lagos-Calabar Coastal Railway, Mombasa-Nairobi Railway.Addis Ababa- Djibouti Railway, Lobito-Luau Railway, Abuja-Kaduna Railway.
After the construction of the above projects have been completed and cemented, various hiccups that were presented shall be curbed. Increase in efficiency and reliability in terms of transportation of people and goods. It will reduce the cost of transportation.
The country as whole will witness an increase in GDP of roughly about 1.5% that will therefore assist in paying back the loan in some precedent number of years.The railway projects will assist in reduction of congestion on roads, increased industrialization and protection of the environment ozone layer.
Effects on the construction industry
Over the next five years Sub-Saharan Africa is targeted to be the global player in the construction industry growing on an average by a compound annual growth rate of 6.6 per cent per year from 2018 to 2022,according to global data. Due to the current projects and perceived projects in future.
The construction quarter has increased by 2.3% quarter on quarter with non-residential building and construction work posting steady growth though not enough to lift most countries overall economic performance.
In residential and commercial construction,railway tracks transport a variety of building materials including steel,stone,non-metallic minerals, wood products and plastics. At the end of the residential construction process, a newly built dwelling is filled with durable consumer goods that are transported via rail this showing the effect of railway technology in the construction industry.