Zambia has secured US$265 million in financing from the African Development Bank (AfDB) Group to advance its participation in the Lobito Economic Corridor, marking a significant step towards improving regional transport infrastructure and strengthening access to international markets.
The financing comprises a US$255 million loan from the African Development Fund and a US$10 million grant from the Rome Process/Mattei Plan Financing Facility.
The support is intended to accelerate the development of railway and road infrastructure connecting Zambia to Angola’s Atlantic coast through the Democratic Republic of Congo (DRC).
The project forms part of a broader regional initiative involving Zambia, Angola and the DRC, aimed at establishing an efficient transport and logistics network linking mineral-producing areas in southern and central Africa to international markets.
Under the AfDB-supported project, Zambia plans to construct approximately 550 kilometres of new railway infrastructure connecting the country to the Lobito Corridor.
The project will also involve upgrading 105 kilometres of the Mwinilunga-Jimbe road in North-Western Province, improving connectivity towards the Angolan border.
The bank’s approved loan represents the first phase of financing, with subsequent phases potentially bringing its total support for the railway development to US$500 million.
Road financing secured as construction preparations advance
Zambia has also confirmed that financing for road infrastructure along its section of the Lobito Corridor has been secured, with the government shifting attention towards procurement and the commencement of construction.
Finance Minister Situmbeko Musokotwane announced the development on October 5, 2026, during the opening of the Second Lobito Corridor Coordination Meeting in Lusaka.
He identified the African Development Bank, the United States government’s Millennium Challenge Corporation (MCC) and the Zambian government as partners supporting the road infrastructure financing.
The announcement signals progress in addressing one of the major requirements for making the corridor operational: reliable road connections that complement railway infrastructure.
However, the government has not disclosed the total value of the road financing package, the individual contributions from the three partners or a definitive construction commencement date.
The MCC’s involvement builds on its US$491 million Zambia compact, signed in October 2024, comprising US$458 million in American funding and US$33 million from the Zambian government. The compact’s road priorities were subsequently realigned to support connectivity in North-Western and Copperbelt provinces.
Strengthening regional trade and mineral exports
The Lobito Corridor is expected to provide Zambia and the DRC with an alternative export route through Angola’s Port of Lobito, reducing reliance on traditional transport routes towards eastern and southern African ports.
For Zambia, one of Africa’s leading copper producers, improved rail and road connectivity could reduce transportation costs, shorten delivery times and enhance the competitiveness of its mineral exports.
The corridor is also expected to support agricultural production, energy development, forestry and other economic activities by improving access to markets and investment opportunities.
World Bank Managing Director Anna Bjerde highlighted the corridor’s broader economic potential, noting that the International Finance Corporation had identified 118 potential investment opportunities worth more than US$28 billion across sectors including mining, agriculture, energy, logistics and forestry.
Regional cooperation remains critical
Although Angola’s railway connection to the Congolese border is operational, Zambia’s proposed 550-kilometre railway link remains to be developed.
The AfDB financing is therefore an important initial contribution rather than confirmation that the entire Zambian railway project is fully funded.
The project’s success will depend on coordinated investment in railways, roads, warehouses and supporting logistics infrastructure, alongside efficient procurement and implementation.
With financing commitments advancing and regional cooperation gaining momentum, the Lobito Corridor is emerging as a strategic infrastructure project that could reshape trade flows, attract investment and strengthen Zambia’s position in regional and global mineral markets.
