Biden Announces $600 Million in New Funding for African Railway Project

Biden Announces $600 Million in New Funding for African Railway Project—–Biden announced $600 million for Africa’s Lobito railway project, boosting US investment in critical minerals infrastructure and countering China’s influence in the region.

President Joe Biden, concluding his visit to Angola, announced an additional $600 million in funding to support a multi-country railway project. This initiative is part of the US’s efforts to boost its investment in critical minerals infrastructure across Africa and reduce Chinese influence on the continent.

The new funding builds on the $553 million pledged earlier this year by the US International Development Finance Corporation (DFC) for the Lobito Trans-Africa Corridor. This railway will connect the Central African copperbelt, rich in minerals like cobalt, to Angola’s Atlantic coast, facilitating the transportation of crucial resources for industries such as electric vehicle production.

In addition to rail infrastructure, the investment will support agriculture, clean energy, supply chains, health, and digital access, according to the White House.

“The United States understands that how we invest in Africa is just as important as how much we invest,” Biden said during his speech in Lobito, a port city on Angola’s coast. He emphasized the need for more capital and infrastructure to help Africa address real challenges. Biden, a known advocate for rail development (earning him the nickname “Amtrak Joe”), highlighted the Lobito railway’s importance during his trip, particularly for expediting the shipment of critical minerals from the Democratic Republic of Congo (DRC) and Zambia.

While visiting Lobito, Biden toured the port and met with companies like SunAfrica, Africell (a US-owned mobile network), and Acrow Bridge, an infrastructure company based in Pennsylvania. He also engaged with African leaders, including Angolan President João Lourenço, Zambian President Hakainde Hichilema, DRC President Felix Tshisekedi, and Tanzanian Vice President Philip Isdor Mpango.

The US is aiming to counter China’s longstanding dominance in Africa, where China has invested billions in infrastructure projects and now holds a significant share of the region’s mining sector. Angola, once heavily reliant on Chinese loans, has been seeking to diversify its partnerships under President Lourenço. However, Angola’s oil sector still exports more than half of its output to China.

According to the White House, the US has already provided $2.9 billion in financing to Angola, primarily for energy, infrastructure, and telecommunications. Biden linked these investments in Africa to his Bipartisan Infrastructure Law, highlighting how they align with his broader efforts to improve infrastructure globally.

Biden’s trip to Africa fulfills a promise he made after hosting the 2022 African Leaders Summit in Washington. However, his visit has been somewhat overshadowed by his recent decision to pardon his son, Hunter Biden, and last month’s election of Donald Trump as his successor. With less than 50 days left in office, Biden is focusing on cementing his legacy in international infrastructure and investment.