The African Development Bank (AfDB) spearheaded a landmark initiative in October 2023 by signing a Memorandum of Understanding (MoU) with the U.S., the European Commission, the Africa Finance Corporation (AFC), and the governments of Zambia, Angola, and the Democratic Republic of Congo (DRC) to develop the Lobito Corridor.
This ambitious project aims to connect the DRC and Zambia’s copper belts to international markets via Angola’s Port of Lobito, positioning southern Africa as a global supplier of critical minerals and serving as a model for economic development across various sectors.
The Lobito Corridor, a 1,300 km railway line, will stretch from the Angolan Atlantic Coast to the Angola-DRC border town of Luau, with extensions into Zambia and the DRC’s mining hub of Kolwezi.
This initiative has seen extensive collaboration at both the national and regional levels, facilitating intra-African trade and attracting significant investments in rail infrastructure.
Trilateral cooperation agreements and Memoranda of Understanding (MoUs) have been signed, laying the groundwork for large-scale investments in regional transportation infrastructure.
Public-private partnerships (PPPs) have played a crucial role in mobilizing additional financing for the project, with a consortium led by Trafigura, Mota-Engil, and Vecturis SA awarded the contract to manage logistics.
The Lobito Corridor project is expected to be completed within the next five years, bolstering economic growth and regional connectivity.
Furthermore, the success of the Lobito Corridor has paved the way for similar initiatives in other sectors, particularly in the petroleum industry.
Angola, endowed with significant oil and gas reserves, aims to become a key supplier of petroleum products to the region.
Collaborative efforts, infrastructure investments, and PPPs have already facilitated progress in this area, with plans for new refining developments, pipeline infrastructure, and petrochemical projects underway.
Angola’s partnership with Zambia to develop the Angola-Zambia Oil Pipeline exemplifies this commitment to regional cooperation and economic integration.
Additionally, initiatives such as the modernization of the Cabinda gas plant and the Soyo II combined cycle power plant underscore Angola’s efforts to enhance energy production and distribution across the region.
As models like the Lobito Corridor continue to evolve and expand, they play a vital role in fostering intra-African trade and advancing regional economic development in southern Africa.
