In a major milestone for the Zambia Lobito Rail Challenge, Africa Finance Company (AFC) (www.AfricaFC.org), the continent’s main infrastructure options supplier, has signed concession agreements with the governments of Angola and Zambia for the financing, development, possession and operation of the transformational railway venture. The agreements, which have been signed yesterday in a ceremonial signing hosted by U.S. Secretary of State Antony J. Blinken and the Biden Administration’s G-7 Partnership for International Infrastructure and Funding (PGI) on the sidelines of the 79th session of the UN Normal Meeting (UNGA 79), paves the best way for the Company to spearhead and full the event of the railway.
Final yr, AFC was appointed lead developer on the Zambia Lobito rail venture in collaboration with the USA Authorities, the European Union, the African Improvement Financial institution and the governments of Angola, the Democratic Republic of Congo and Zambia. The venture includes the development of roughly 800km greenfield rail line connecting the Benguela rail line in Luacano, Angola, to the prevailing Zambia Railways Line in Chingola, Zambia. As soon as accomplished, the commerce hall will facilitate the environment friendly motion of products and promote investments in agriculture, well being, digital infrastructure, mining, and electrical energy entry alongside the hall.
Concurrent to signing the concession agreements, AFC additionally signed an settlement to obtain US$ 2 million grant funding from the USA Commerce and Improvement Company (USTDA) (https://apo-opa.co/3zINnnM), in the direction of completion of the environmental and social research for the venture. The grant, which marks the primary time the Company will faucet into USTDA funding, will facilitate complete Environmental and Social Influence Assessments (ESIA) to make sure that the Zambia Lobito Rail Challenge aligns with worldwide finest practices and environmental requirements.
AFC will play the pivotal position of lead developer on the rail venture which not solely affords an environment friendly evacuation route for minerals and metals from the area however helps set up a commerce hall throughout Africa from the Port of Lobito on the coast of the Atlantic Ocean to the Port of Dar es Salam in Tanzania on the coast of the Indian Ocean, facilitating international and intra-African commerce. The railway is predicted to create financial profit of roughly $3 billion throughout each nations, scale back emissions by roughly 300,000 tons per yr and add over 1,250 jobs throughout development and operations.
The Honourable Minister of Transport for Angola Mr Ricardo Viegas d’Abreu famous, “We’re happy to companion with Africa Finance Company on this transformative venture which is able to deepen our nation’s position as a regional logistics hub, boosting commerce not solely with Zambia however with the remainder of the world.”
Mr Frank Tayali MP, Honourable Minister of Transport for Zambia added, “The Zambia Lobito Rail Challenge is a crucial milestone in our efforts to modernise infrastructure, improve the competitiveness of our financial system, and enhance the livelihoods of our individuals. We stay up for partnering with Africa Finance Company to ship on this groundbreaking venture.”
“The Zambia Lobito Rail Challenge represents a game-changing growth for the area, unlocking super potential for commerce, industrialisation, and socio-economic development.,” stated Samaila Zubairu, President&CEO of Africa Finance Company. “AFC is proud to companion with the governments of Angola and Zambia to ship worldclass rail infrastructure, which is able to speed up industrial growth in Africa, promote regional integration and supply an important export route for copper and different vital minerals for the worldwide vitality transition,” he added.
The hall will present an alternate strategic path to worldwide export markets for Zambia and DRC. It can supply the shortest route for export and imports, linking key mining areas, agricultural clusters and companies in Zambia and DRC to the Port of Lobito. It can considerably facilitate the motion of cargo from the Copperbelt and Northwestern Provinces, by means of Angola to the Western markets.
Distributed by APO Group on behalf of Africa Finance Company (AFC).
Media Enquiries:
Yewande Thorpe
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Africa Finance Company
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Electronic mail: yewande.thorpe@africafc.org
About AFC:
AFC was established in 2007 to be the catalyst for pragmatic infrastructure and industrial investments throughout Africa. AFC’s strategy combines specialist business experience with a concentrate on monetary and technical advisory, venture structuring, venture growth, and danger capital to deal with Africa’s infrastructure growth wants and drive sustainable financial development.
Seventeen years on, AFC has developed a observe report because the companion of alternative in Africa for investing and delivering on instrumental, high-quality infrastructure property that present important companies within the core infrastructure sectors of energy, pure sources, heavy business, transport, and telecommunications. AFC has 43 member nations and has invested US$13 billion throughout Africa since inception.