AFC Achieves Financial Close on Landmark US$753 MM Lobito Corridor Railway Project, Marking a Major Milestone for Regional Integration and Economic Transformation. The financing will support the rehabilitation, upgrade and long-term operation of the 1,300-kilometre railway linking the Port of Lobito in Angola with the Democratic Republic of Congo border.
Africa Finance Corporation (AFC), the continent’s leading infrastructure solutions provider, is pleased to announce the successful financial close of the US $753MM Lobito Corridor Railway Project in Angola, one of Africa’s most significant cross-border transport infrastructure transactions. The transaction, which follows key financing agreements signed late last year, marks a major milestone for regional integration and economic transformation in Africa.
AFC acted as Co-Financial Adviser on this transaction, alongside Eaglestone, leading on the structuring and mobilisation of financing for the Borrower and Concessionaire, Lobito Atlantic Railway S.A. (LAR), a joint venture between Mota-Engil and Trafigura. The financing for this transformational regional project includes US$553 million from the U.S. International Development Finance Corporation (DFC) and US$200 million from the Development Bank of Southern Africa (DBSA). The funding will support the rehabilitation, upgrade, and long-term operation of the 1,300-kilometre brownfield rail corridor linking the Port of Lobito in Angola to the Democratic Republic of Congo (DRC) border.
Samaila Zubairu, President & CEO of Africa Finance Corporation, said, “The financial close of the Lobito Corridor Railway Project underscores AFC’s leadership in delivering complex transformational infrastructure that advances Africa’s industrialisation and regional integration. As one of the continent’s most strategic transport corridors, the project will strengthen regional connectivity, facilitate trade, and unlock new opportunities for economic growth across Angola and the wider region.”
Nuno Gil, Founding Partner of Eaglestone, said: “Reaching financial close on the Lobito Corridor Railway Project is the culmination of years of work and a defining moment for infrastructure finance in Sub-Saharan Africa. This transaction demonstrates that complex, multi-lender, cross-border project financings can be structured and successfully closed on the continent, and we are proud to have been at the centre of it alongside AFC. We thank LAR, Mota-Engil and Trafigura, for their trust in Eaglestone and for the commitment they each brought to making this transaction a reality.”
This landmark transaction reinforces AFC’s role as a trusted partner in developing and financing the critical infrastructure needed to accelerate Africa’s economic transformation. By enabling greater connectivity between key markets, supporting regional trade corridors, and strengthening access to global markets, the Lobito Corridor Railway Project represents a major milestone in advancing regional integration and unlocking Africa’s industrial potential.
Why It Matters
Financial close moves one of Africa’s most significant cross-border railway projects into a new phase, with US$753 million committed to the rehabilitation, upgrade and long-term operation of the 1,300-kilometre corridor.
The railway strengthens the transport connection between the Port of Lobito and the DRC border, supporting regional trade, market access and wider efforts to develop the Lobito Corridor as a strategic route linking inland economies with global markets.
Fact Sidebar
Lobito Corridor Railway Financing
- Total financing: US$753 million
- DFC financing: US$553 million
- DBSA financing: US$200 million
- Railway length: 1,300 kilometres
- Corridor: Port of Lobito to the DRC border
- Borrower and concessionaire: Lobito Atlantic Railway S.A.
- LAR shareholders: Mota-Engil and Trafigura
- AFC and Eaglestone acted as Co-Financial Advisers
- Funding supports the rehabilitation, upgrade and long-term operation of the railway
