(Ecofin Agency) - Gautrain, a commuter rail system in South Africa, seeks ZAR4 billion ($290 million) to increase the number of its trains currently in use by 50% in preparation for an extension of its rail network, Bloomberg  reported November 7, 2018.

"The Development Bank of Southern Africa Ltd. is leading the fundraising", a spokesperson of Bombela Concession Company, managing and maintaining the rail network, told Bloomberg.   

"Canada’s Bombardier Inc., CRRC Corp. of China and local firm Egoli Rail are among the bidders to supply the trains", the spokesperson added.

The purchase of those new trains falls within the framework of the important extension plan to increase Gautrain rail network from 80 kilometers to 230 km.

Gautrain (a contraction of Gauteng, the district crossed by the rail network) currently allows trips between Pretoria, the administrative capital and Johannesburg, the most populous town, helping lighten traffic on the most frequented road in the country and develop the region’s economy.

The above-mentioned extension plans for new connection with Soweto, a black township 15 km Southwest of Johannesburg, and the construction of a new train maintenance depot.