Angola, Zambia and the DRC’s plan to develop a railway line that will connect the three countries will supported by the EU and US.
The Lobito Corridor will connect the southern DRC and northwestern Zambia to regional and global trade markets via the Port of Lobito in Angola. The three countries signed the Lobito Corridor Transit Transport Facilitation Agency (LCTTFA) Agreement on 27 January 2023 following negotiations that began in 2013.
According to the Southern African Research and Documentation Centre (SARDC), the Angolan government has estimated that it will earn around $2 billion over 30 years when the Lobito Corridor is fully operational. The country expects that a project to establish a railway service running for nearly 1,300km from Luau on the eastern border with the DRC to Lobito Port will create over 1,600 jobs, said the SARDC.
“Lobito is a port city in western Angola, lying on the Atlantic coast and known for its long and unique natural harbour and active port, with important railway terminals and connections to the continental road network,” it said. EU-US to provide infrastructure support for railway line The EU-US involvement was announced on the margins of the recently held Partnership for Global Infrastructure and Investment (PGII) event at the G20 in India.
The US Embassy in Kinshasa said the EU and the US are teaming up to support the development of the Corridor. This includes launching feasibility studies for a new greenfield rail line expansion between Zambia and Angola. “As an immediate next step, the United States and the European Union will support the governments in launching pre-feasibility studies for the construction of the new Zambia-Lobito railway line from eastern Angola through northern Zambia.
“This builds on the initial US-led support to refurbish the railway section from the Lobito port in Angola to the Democratic Republic of the Congo. “The US-EU partnership will upgrade critical infrastructure across sub-Saharan Africa to unlock the enormous potential of this region.” SARDC noted that the DRC and Zambia hold major reserves of key minerals such as cobalt and copper which will find a shorter route to world markets through the Lobito Corridor.
“Angola is well known for its oil production, but has made it a priority to diversify its development agenda, leading to growth in sectors such as mining as the country has sizeable reserves of gold, diamond, iron ore and rare earth minerals,” said SARDC. The Zambian government had also requested for land to use as a dry port at the Port of Lobito. It described the corridor as “Zambia’s alternative and strategic outlet to the Western and European export markets.” Regional growth through enhanced connectivity The US Embassy said the partnership will combine financial resources and technical know-how to accelerate the Lobito Corridor development.
This will include investments in digital access and agricultural value chains that will increase regional competitiveness. “Once transport infrastructure connecting all three countries is fully operational, the Corridor will enhance export possibilities for Zambia, Angola and the Democratic Republic of the Congo, boost the regional circulation of goods, and promote the mobility of citizens.”
By reducing the average transport time, the new railway will lower the logistics costs and carbon footprint of exporting metals, agricultural goods, and other products. The US and EU will explore cooperation in three specific areas: Transport infrastructure investments. Measures to facilitate trade, economic development and transit. Support to related sectors to fuel inclusive and sustainable economic growth and capital investment in Angola, Zambia and DRC in the longer term. The partnership’s plan also includes developing clean energy projects along the railway line to: Increase the power supply to surrounding communities.
Support diversified investment in critical minerals and clean energy supply chains. Extend digital access. Grow agriculture value chains to enhance local food production for the region’s expanding population. Address global food insecurity. Augmenting local workforce training, support for small and medium enterprises and economic diversification.