US President Joe Biden Announces $560 Million Funding for Lobito Trans-African Corridor
On Wednesday, December 4, 2024, US President Joe Biden unveiled more than $560 million in funding for the Lobito Trans-African Corridor, during a meeting in Lobito with Angolan President João Lourenço, DRC President Félix Tshisekedi, Zambian President Hakainde Hichilema, and the Vice President of Tanzania.
The project, designed to connect the mining basins of the Democratic Republic of Congo (DRC) and Zambia to the port of Lobito, is crucial for transporting key natural resources such as copper and cobalt.
President Biden emphasized that the Lobito Corridor represents a transformative opportunity for local communities and plays a vital role in advancing the global energy transition. The initiative is expected to catalyze economic growth and regional cooperation.
With an additional $200 million in private investment, the total US commitment to this infrastructure project now exceeds $4 billion. This significant funding is part of the broader effort to strengthen US-Africa relations and drive economic integration on the continent.
Angolan President João Lourenço expressed his satisfaction with the US’s involvement, calling it a pivotal moment in US-Angola relations. He also highlighted the historical significance of this visit—the first by a sitting US President to Angola—and its potential to enhance regional cooperation.
President Tshisekedi of the DRC underscored the critical role the Lobito Corridor plays in his country’s economy. He called for close collaboration between the involved nations to fully harness the project’s potential and ensure sustainable resource management.
Tshisekedi noted that the corridor could create more than 30,000 direct and indirect jobs, helping to alleviate poverty and foster intra-African trade.
Zambian President Hichilema described the Lobito Corridor as a unique opportunity for Zambia, stressing that the improved logistics could triple the country’s copper production by 2030. He urged continued international support to achieve these ambitious goals.
The Tanzanian Vice President also lent support to the project, recognizing its potential to enhance trade across African borders and align with the African Union’s Agenda 2063, which focuses on economic integration and development across the continent.
The US has already mobilized over $6 billion in public and private investment for the Lobito Corridor, positioning the project as a strategic counterbalance to China’s growing influence in Africa.
The initiative is seen as a way to provide alternatives to Chinese investments, which have faced criticism for their restrictive terms.
The Lobito Corridor is not just an infrastructure project; it symbolizes the renewed ambition of the United States to invest in Africa’s growth.
The leaders present agreed that the completion of the corridor could transform the regional economy, creating new opportunities for African nations and strengthening ties across the continent.
