Zambia to benefit over US$30bn from US for infrastructure
By BUUMBA CHIMBULU
Zambia is among the countries in the Sub-Saharan Region to benefit from the over US$30billion which has been set aside by the American Government for infrastructure development.
United States is supporting the development of the Lobito Corridor with an initial investment in a rail expansion that may become the primary open access transportation infrastructure connecting the DRC and Zambia with global markets through Angola.
This is a real time game changer in Zambia in particular and the region, according to Transport and Logistics Minister, Frank Tayali.
Mr Tayali said the move brought a high sense of confidence to member states of the Lobito Corridor as this is a booster towards investment that would lead to positive impacts across multiple sectors in the region.
“The remarks resonate well with the New Dawn Administration’s desire of seeing Zambia unlock its vast business potential along the corridor through the participation of the private sector in creating jobs and economic growth,” he said.
“The mere mention by the G7 at its annual meeting clearly demonstrates the high level of importance and confidence the Group has shown in the member states of the Lobito Corridor,” he said.
According to a statement by President Joe Biden made at an ongoing G7 summit in Japan, the United States of America government had put aside $30billion for infrastructure development in Sub-Sahara Africa,
According to initial investments, under rail Consortium, the U.S. International Development Finance Corporation is currently performing due diligence for a potential financing package of $250 million to finance the Lobito Atlantic Railway Corridor, an open access rail line from Lobito Port in Angola to the DRC border.
Mr Biden said his country had already started working with its partners to make this happen, adding that in Sub-Saharan Africa, the U.S. Development Finance Corporation is looking to invest in the first railway project on the continent.
“The rail line would extend from the western shores of Angola to the border of the DRC and Zambia, with the goal of ultimately reaching the Indian Ocean, connecting the continent east to west for the first time,” he said.