THE governments of Mozambique and South Africa signed a R3 billion, 30-year concession in 1996 for a private consortium, Trans-African Concessions (TRAC), to build and operate the N4 toll road from Witbank, South Africa to Maputo, Mozambique.

The N4 toll road was established via a 30-year, R3 billion concession signed in 1996 between South Africa and Mozambique, operated by Trans-African Concessions (TRAC). The project utilized a financing structure of 20% equity and 80% debt, with the latter guaranteed by both governments. To manage user payment risks in Mozambique, TRAC implemented cross-subsidization using revenues from the South African section and provided discounts to regular Mozambican users. The road acted as a catalyst for further regional investment, including the Maputo Port and the Mozal aluminium smelter.

• The N4 toll road project was financed through a combination of 20% equity and 80% debt, with the debt guaranteed by the governments of South Africa and Mozambique.
• To address the risk that poor communities in Mozambique would be unable or unwilling to pay toll fees, TRAC used higher revenues from the South African side to subsidize the Mozambican portion and offered discounts to regular users.
• The completion of the N4 toll road enabled additional regional infrastructure and industrial developments, specifically the Mozal aluminium smelter and the Maputo Port.

APA

South African Institute of International Affairs (2008). THE governments of Mozambique and South Africa signed a R3 billion, 30-year concession in 1996 for a private consortium, Trans-African Concessions (TRAC), to build and operate the N4 toll road from Witbank, South Africa to Maputo, Mozambique. https://saiia.org.za/news/case-study-sa-mozambique-toll-road/

Chicago

South African Institute of International Affairs. THE governments of Mozambique and South Africa signed a R3 billion, 30-year concession in 1996 for a private consortium, Trans-African Concessions (TRAC), to build and operate the N4 toll road from Witbank, South Africa to Maputo, Mozambique. 2008. https://saiia.org.za/news/case-study-sa-mozambique-toll-road/.

Wikipedia

{{cite report |author=South African Institute of International Affairs |title=THE governments of Mozambique and South Africa signed a R3 billion, 30-year concession in 1996 for a private consortium, Trans-African Concessions (TRAC), to build and operate the N4 toll road from Witbank, South Africa to Maputo, Mozambique. |date=24 April 2008 |url=https://saiia.org.za/news/case-study-sa-mozambique-toll-road/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{southafricaninstituteofinternationalaffairs2008governments, author = {{South African Institute of International Affairs}}, title = {{THE governments of Mozambique and South Africa signed a R3 billion, 30-year concession in 1996 for a private consortium, Trans-African Concessions (TRAC), to build and operate the N4 toll road from Witbank, South Africa to Maputo, Mozambique.}}, institution = {South African Institute of International Affairs}, year = {2008}, month = apr, url = {https://saiia.org.za/news/case-study-sa-mozambique-toll-road/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }