Washington DC: The Lobito Corridor has received a significant financial boost with a $550 million direct investment from the United States International Development Finance Corporation (DFC). This funding is aimed at enhancing the development of the region through infrastructure improvements, notably the renovation of the Benguela railway line that connects Lobito to the Democratic Republic of Congo (DRC).
According to Angola Press News Agency, this investment was announced by Helaina R. Matza, the Acting Special Coordinator for the Partnership on Global Infrastructure Investment (PGI) of the U.S. Department of State. Her comments came ahead of U.S. President Joe Biden’s upcoming visit to Angola, scheduled from December 2 to December 4. Matza emphasized the importance of this project as a genuine public-private partnership, highlighting its role in strengthening regional connectivity and reducing trade costs.
The DFC, a U.S. development finance institution, focuses on supporting development projects in low
and middle-income countries. Matza explained that the Lobito Corridor is part of a broader commitment involving the U.S., European partners, and the private sector, aimed at making the corridor an open and competitive access network not only for rail users but also as a connection to other projects across the continent. This vision aligns with Africa’s Agenda 2063 for enhanced regional connectivity, drawing inspiration from successful corridor projects in other parts of the continent.
Furthermore, Matza disclosed that the U.S. has pledged over $600 billion in global support through the G7 countries by 2027, with the Lobito Corridor initiative contributing to closing infrastructure gaps and promoting sustainable economic growth. The investment encompasses not only rail improvements but also clean energy and agricultural ventures, reflecting the U.S. government’s comprehensive approach to fostering prosperity in the region.
Angola has been identified as a key partner in these endeavors, with the U.S. already
investing in various projects, including the construction of 180 prefabricated bridges to improve connectivity and digital initiatives with partners like Africell to expand mobile money services. The Lobito Corridor itself spans 1,344 kilometers from the port of Lobito to Luau in Moxico province, traversing four Angolan provinces and impacting 40% of the country’s population. This strategic route is pivotal for agricultural development and economic diversification, offering a vital link between the Atlantic and Indian Oceans and serving as a crucial export pathway for neighboring countries like Zambia and the DRC.
