Home Pan Africa Angola and Zambia Sign Landmark Agreement to Develop Lobito Corridor Railway

Pan Africa

Angola and Zambia Sign Landmark Agreement to Develop Lobito Corridor Railway

April 12, 2025

Strategically, the Lobito Corridor is expected to transform regional trade by providing a critical export route for minerals from Zambia and the Democratic Republic of Congo to Angola’s Port of Lobito, thereby improving access to global markets. Recognized as one of Southern Africa’s most vital trade corridors, it is poised to attract investment and stimulate economic growth across the region.

(3 Minutes Read)

Angola and Zambia have taken a major step toward strengthening regional trade by signing a landmark agreement to develop the Lobito Corridor railway project. This ambitious initiative will establish an approximately 800-kilometer rail link connecting Angola’s Benguela Railway at Luacano with Zambia’s rail network in Chingola.

The project is set to improve the efficient movement of goods between the two countries, boost investment in key sectors such as agriculture, mining, and manufacturing, and create over 1,250 jobs during both the construction and operational phases. It marks a significant milestone in advancing regional integration and aligns with the objectives of the African Continental Free Trade Area (AfCFTA) and the Southern African Development Community (SADC).

The agreement was formalised in September 2024 during the 79th session of the United Nations General Assembly in New York. The African Finance Corporation (AFC) has been appointed as the lead developer and will oversee the project’s financing, construction, ownership, and operations. To ensure the project meets international environmental and social standards, the U.S. Trade and Development Agency has committed a USD 2 million grant to support environmental and social impact assessments.

Strategically, the Lobito Corridor is expected to transform regional trade by providing a critical export route for minerals from Zambia and the Democratic Republic of Congo to Angola’s Port of Lobito, thereby improving access to global markets. Recognized as one of Southern Africa’s most vital trade corridors, it is poised to attract investment and stimulate economic growth across the region.

Beyond trade, the project promises far-reaching socioeconomic benefits. It is expected to generate employment, uplift surrounding communities, and foster broader economic development along its route. The operational phase will also create new opportunities in logistics, warehousing, and manufacturing.

This agreement highlights the growing recognition of transport infrastructure as a key enabler of sustainable development. With support from development banks and private investors, the Lobito Corridor has the potential to serve as a model for future cross-border infrastructure projects across the African continent.

As Angola and Zambia move into the implementation phase, the successful realisation of the Lobito Corridor will not only strengthen bilateral ties but also enhance Southern Africa’s position as a dynamic and interconnected economic hub.