By Absolom Shigweda.

The copper town of Tsumeb, 426km north of Windhoek, is beginning to look busy. Swathes of dust tell engineers that bush clearing for a new railway line is underway. The clouds of dust have taken over from clouds of cement that accompanied the building of a new factory which will make concrete sleepers for the railway line.

The new line will go from Tsumeb to the far northern town of Oshik‰ngo (on the edge of the Namibian/Angolan border).

Currently, any railway to the northern part of the country that there is, finishes in Tsumeb, not starts. The neighbouring Angolan government has also decided to extend its railway network into areas close to the Namibian border. The two governments plan that they should link-up, forming a development chain to promote regional economic growth.

Speaking at the opening of the sleeper factory, Namibia's President Sam Nujoma said, "This development strengthens our links in the chain to advance economic growth, alleviate poverty and promote the creation of employment opportunities in southern Angola and north-central Namibia."

The factory itself is a joint-venture called NamGrin (between the Namibian government and a construction company Grinaker Namibia).

The line will go from Tsumeb, call on the town of Ondangwa and then go on to the capital of the north, Oshak‰ti. Nujoma believes this project will promote a more equitable distribution of resources and the development an infrastructure which ultimately will empower thousands of Namibians, allowing them to transport goods and raw materials over the new network.

The President revealed that the southern K‰ras region would also benefit from rail expansion. Plans are already on the drawing board to upgrade of the Aus-Luderitz railway in the south of the country, joining it to the rest of the Nambian rail network.

"The entire country will be linked by rail from north to south. It is therefore clear that there will be many entrepreneurial opportunities for people in the south, as it will ultimately also be linked to the rest of the sub-continent," said Nujoma.

The N$66m proposed railway line will run parallel to the existing road from Tsumeb to Ondangwa for 248km and then proceed with a further 40 km to Oshak‰ti; another 62km section will link Ondangwa to Oshik‰ngo, a Namibian town on the edge of the Namibia/Angolan border.

The railway line will be an extension of the existing Namibian railway infrastructure and will be linked to the Angolan railway system in Cassinga and Chammutete.

Works, Transport and Communication Minister, Hampie Plichta said in view of these developments, Namibia will be able to stand its competitive ground among other nations in southern Africa and Namibians would reap the benefits of the new development. He added that the government was securing funds from foreign donors and financing agencies for the project, which is earmarked to be completed in 2005.

The feasibility study, financed by the United States Trade and Development Agency, was completed in June last year. Funds have been sourced from business people as far afield as the United States and Kuwait.

"Since it is anticipated the government will contribute approximately 25% towards the project costs , 75% or $50 million will have to be secured from alternative sources," said Plichta, who is a railway enthusiast.

The Kuwait Fund for Arab Economic Development has committed itself to contribute $20m to the project. The pledge was made during President Nujoma's visit to Kuwait in

The African Development Bank (ADB) and the Arab Bank for Economic Development in Africa have also expressed willingness to fund the project.