China’ largest railway constructor, China Railway Construction Corp, has won two infrastructure projects in Africa with a combined value of US$5.5 billion.
The first, an inter-city railway project in Nigeria known as the Nigeria Ogun State Intercity Mass transit Project, is valued at over US$3.5 billion.
The Chinese company also won a $1.93 billion residential construction project in Zimbabwe.
Financing for the Nigerian rail project is not yet finalised.
However, it has been reported China will allocate $62 billion of its foreign exchange reserves to three state-owned “policy banks” in order to support its New Silk Road project.
The project is aimed at creating infrastructure links with foreign markets.
The People’s Bank of China will direct $32 billion to China Development Bank and $30 billion to Export-Import Bank of China.
Chinese president Xi Jinping had met his Zimbabwean counterpart, Robert Mugabe, last week in Indonesia on the side-lines of the Asian-African Summit.