Angola and Zambia renew commitment to Lobito Corridor
THE governments of Angola and Zambia have signed an agreement that lays the groundwork for future cooperation in the financing, construction and operation of the proposed 830km Zambia Lobito Railway project that will link the two countries.
The new 1067mm-gauge line will extend the existing Benguela Railway from Luacano, Angola, to Zambia Railways’ railhead at Chingola, providing connectivity to the Democratic Republic of Congo (DRC) and Tanzania via the Tazara line, and extending the corridor from the port of Lobito on the Atlantic to the port of Dar es Salaam on the Indian Ocean.
The agreement was signed by Zambian minister of transport and logistics, Frank Tayali, and the Angolan minister of transport, Ricardo Viegas D'Abreu, during the Land-Linked Zambia Conference held in Lusaka, Zambia. It is being hailed as a transformative step towards regional integration and economic development across southern Africa.
Financing
The Africa Finance Corporation (AFC) is the lead developer of Zambia Lobito Rail project, and signed a concession agreement with the governments of Angola and Zambia in September 2024 to finance, build, own and operate the new line. AFC confirmed in December that it is committing $US 500bn towards the project, bringing overall financing to more than $US 1bn, and hopes construction could start in 2026.
Substantial support has also been secured to upgrade the 1289km line in Angola to Luau on the border with the DRC, including a $US 553m direct loan to Lobito Atlantic Railway from the US International Development Finance Corporation.
The administration of former US president, Joe Biden, committed over $US 560m to fund new infrastructure projects along the Lobito corridor, and during a visit to corridor construction sites in early April, US chargé d’affaires and acting ambassador to Angola, James Storey, reaffirmed support for the project under the Trump administration.
“US investment in the Lobito Corridor is 100% committed,” he said.
Storey’s three-day visit was as part of a wider delegation of ambassadors from G7 member states, the European Union (EU) and others which make up the Partnership for Global Infrastructure Investment (PGII). The Lobito Corridor project is considered the centrepiece of PGII investment in African infrastructure.
First, please LoginComment After ~