During his official visit to Angola, US President Joe Biden announced over $560 million in new funding for the Lobito Corridor transport infrastructure initiative.
This Corridor is recognized as the largest US-backed infrastructure project on the continent, designed to connect the Port of Lobito on Angola’s Atlantic coast with Zambia, with a strong emphasis on developing advanced rail infrastructure.
On what is expected to be his first and final trip to Africa as president before his term ends in January, Biden commended the progress made on the Corridor since its launch under the Partnership for Global Infrastructure and Investment (PGI) during the 2023 G7 Summit, alongside the announcement of the substantial funding.
The committed investments are expected to attract at least $200 million in additional private sector funding for infrastructure projects along the Corridor, as stated by the White House. This would elevate total US investments to over $4 billion—when including international partners, the total surpasses $6 billion. Discussions are ongoing to improve connectivity to Tanzania’s Port of Dar es Salaam, linking the Atlantic and Indian Oceans, which will enhance regional trade and integration across East and Southern Africa.
Speaking at the Carrinho Food Processing Factory in Benguela, alongside leaders Joao Lourenço of Angola, Felix Tshisekedi of the Democratic Republic of Congo, and Hakainde Hichilema of Zambia, as well as Tanzania’s Vice President Philip Isdor Mpango, Biden noted that the Corridor represents “investments in all of our futures.”
“Just imagine how transformative this will be for technology, clean energy, agriculture, and overall food security. It’s faster, it’s cleaner, it’s more economical, and most importantly, it’s simply common sense…”
“Crucial minerals needed for electric vehicles and semiconductors can be sourced from here. The clean energy necessary to power artificial intelligence data centers and drive economic growth can be developed here. Food essential to combat hunger can be cultivated, transported, and exported throughout this Corridor. In simple terms… nations along the Lobito Corridor hold solutions to some of the most pressing challenges the world faces.”
Will Trump support the Corridor?
The Corridor is envisioned as part of the Partnership for Global Infrastructure and Investment, a G7 initiative aimed at countering Chinese influence on the continent. However, Alex Vines, director of the Africa Program at Chatham House, observed that the Corridor serves purposes beyond just US geopolitical interests.
“The Lobito project is designed to compete with China. However, both Western and Chinese companies will have access to the infrastructure it establishes… This raises questions regarding its importance for Trump, a US president likely to view his administration primarily through the lens of competition with Beijing.
“(Nevertheless) African leaders engaged in a multipolar world will not accept being ensnared in a rivalry between Washington and Beijing. If Trump decides against supporting Lobito, investments from the EU and the African Development Bank are likely to continue.”
David Omojomolo, an Africa economist at Capital Economics, believes that “US investment in the project will likely persist under President Trump, as securing critical minerals and countering China’s influence provide strong incentives.”
AFC provides the majority of new funding
A significant portion of the new funding commitment for the Corridor comes from the African Finance Corporation (AFC), whose president and CEO Samaila Zubairu addressed Biden and his African counterparts. The AFC has committed to allocate up to $500 million for the Lobito-Zambia greenfield rail project, which is one of the Corridor’s key initiatives and serves as the lead developer.
“This investment reflects our confidence in the project’s transformative potential to deliver economic benefits that transcend borders. We will mobilize African pension funds to partner with us, ensuring sustainability for future generations.
“Moreover, we will work with other Multilateral Development Banks (MDBs) and financing institutions to create instruments that attract global institutional capital, similar to successful initiatives seen in markets like Japan and the Gulf,” Zubairu stated.
Zubairu also mentioned that the AFC has established a partnership with critical minerals company KoBold Metals as an anchor client for the railway, guaranteeing a minimum annual transport of 300,000 tons of copper and related freight. KoBold Metals is a California-based startup backed by billionaires Bill Gates and Jeff Bezos.
The AFC has also allocated $100 million to Kobaloni Energy to aid Zambia’s first battery-grade copper sulfate production facility, ensuring a steady flow of cargo along the newly developed railway.
“The Lobito Corridor signifies more than just a rail line—it represents an economic corridor that provides a lower-cost, lower-carbon route to African integration and global competitiveness,” Zubairu emphasized.
