MALAWI'S PRIVATE sector is trying to get more say in the operations of the Nacala railway line, its main world trade link. Mozambique's CFM North has offered Malawi 16% of the equity, but the country wants more, according to a Malawi industrialist who spoke to FTW in Harare this week.
Talks were held six weeks ago between President Joaquim Chissano and his opposite number, Bakili Muluzi, but failed to reach any new agreement.
Mozambique says that it is responsible for 600km of the line while only 200km is in Malawi, says the industrialist. On this basis we reckon we should have about 30%.
CFM itself has only 30%, with the rest going to international institutions and private investors in South Africa and Europe. The line is being rebuilt, using a mix of donor and investment money and the final shareholding has still to be worked out.
Mozambique has said that Malawi should get together private investment groups to increase its stake.
By Martin Rushmere
