The United States has confirmed that it is considering a $250 million investment in the Lobito rail link between the DRC and Angola. With a length of 1,344 km, the project is a strategic axis for the transport of metals indispensable in the manufacture of electric vehicles and wind turbines from mining sites to the port. It will cut transport times from several weeks to just a few days.
The U.S. International Finance Corporation is currently considering $250 million in financing for the Lobito Atlantic Rail Corridor between Angola and the DRC. “The United States supports the development of the Lobito Corridor through an initial investment in a rail extension that could become the primary open-access transportation infrastructure linking the Democratic Republic of Congo (DRC) and Zambia to global markets via Angola,” says the White House.
The funding is part of U.S. President Joe Biden and the G-7’s Partnership for Global Infrastructure and Investment (PGII) initiative for low- and middle-income countries. This confirmation of American funding is “good news for the DRC and Lualaba province for the rehabilitation of the railway”, enthused John Nsana Kanyoni, a close associate of the Congolese head of state, involved in the management of infrastructure projects in the center of the country.
“Promoting greater investment”
President Félix Tshisekedi “welcomed President Biden’s words at the G7/2023 in Japan, regarding future investment in railroads ($250 million to enable significant trade with Angola via the Lobito corridor), as well as greater investment in agriculture and infrastructure,” Congolese Presidency spokeswoman Tina Salama posted on Twitter.
The Lobito project is “the first step in connecting and expanding trade and economic activity from Angola to the DRC that can help promote greater investment in agriculture, digital infrastructure and expanded access to electricity,” the White House said on Saturday. “The United States is actively pursuing other opportunities to connect the initial investments of the Lobito Corridor across the continent to Tanzania and ultimately to the Indian Ocean,” the White House added.
“We are delighted with President Joe Biden’s support for the development of the Lobito Corridor rail project,” wrote Hakainde Hichilema, President of Zambia, who believes the corridor “will greatly benefit Zambia” and “fulfills the U.S. government’s commitment to investment in African infrastructure made at the recent U.S.-Africa Leaders Summit.”
Earlier this year, the governments of Angola, Zambia and the DRC agreed to create a new agency to oversee the development of a trade corridor to and from the port of Lobito. A decision that could transform the development of the region’s mining industry, according to mining specialists. And facilitate trade from Zambia and Congo via Angola’s Benguela railway.
M&B