Zambia and US Expand US$491 Million Agricultural Grant to Boost Lobito Corridor Infrastructure

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Zambia and the United States have expanded a US$491 million agricultural grant programme to include infrastructure that will strengthen the strategically important Lobito Corridor, supporting both agricultural development and the country’s growing critical minerals sector.
The revised programme, implemented through the Millennium Challenge Corporation (MCC), broadens the scope of the original “farm-to-market” initiative signed in 2024. While the grant was initially designed to improve agricultural infrastructure and market access, it will now also fund transport infrastructure that supports Zambia’s role in regional trade and mineral exports.
Supporting Agriculture and Critical Minerals
According to Zambia’s Ministry of Finance, the programme realignment will benefit both the agricultural and mining sectors by improving infrastructure along the Lobito Corridor, one of Africa’s fastest-growing trade and logistics corridors.
The upgraded transport network will improve connectivity between Zambia’s farming regions, mining operations and export routes, creating opportunities for increased economic growth and more efficient movement of goods.
Strategic Investment Along the Lobito Corridor
The Lobito Corridor connects Zambia and the Democratic Republic of Congo’s copper-producing regions to Angola’s Port of Lobito on the Atlantic Ocean. The route is becoming increasingly important as global demand for copper and cobalt continues to grow, particularly for electric vehicles, batteries and renewable energy technologies.
As part of the revised programme, priority road rehabilitation projects in Zambia’s North-Western and Copperbelt provinces have been aligned with the corridor to improve transport efficiency for both agricultural products and critical minerals.
Expanding Economic Opportunities
Beyond road infrastructure, the compact is expected to improve access to finance, irrigation, logistics, processing equipment and other services that support small and medium-sized agricultural enterprises.
Government officials believe these investments will strengthen food systems, encourage private sector participation in agriculture and improve governance in Zambia’s mining sector, creating broader economic benefits across multiple industries.
Strengthening Regional Trade
The Lobito Corridor has become a major regional infrastructure project backed by international partners seeking to improve trade across Southern and Central Africa. By expanding the agricultural grant to include corridor infrastructure, Zambia aims to improve export competitiveness while supporting long-term economic diversification.
The revised programme demonstrates how strategic infrastructure investment can simultaneously strengthen agricultural productivity, improve regional logistics and support the growing demand for Africa’s critical minerals.











